Shownotes
In this episode of the Paper Trail podcast, Chris Seveney, CEO of 7e Investments, breaks down a long-term historical comparison of renting versus owning from 1970 through 2026 and explains why today’s cost imbalance matters for mortgage note investors.
Rather than focusing on headlines, Chris walks through decades of data to show how housing costs and rent tend to revert toward historical norms after periods of distortion. The core message is simple: real estate moves in cycles, and disciplined investors position themselves accordingly.
00:00 Buying vs Renting
00:50 Reading the Rent vs Own Chart
01:43 1980s Interest Rate Shock
03:50 Rents Rise and 1998 Crossover
05:09 2000s Bubble and Crash
06:43 Inventory Problem Not Homes
08:28 2012 Recovery to Pre Covid Balance
09:46 Covid Era Price Surge
11:39 Why Buying Makes No Sense Now
14:04 What It Means for Note Investors
16:47 Case Study Smokies Reality Check
19:27 Crystal Ball and Final Caution
20:44 Wrap Up