CNN.com (via Fortune) has an article about "new normals" we may have to accept going forward. Although it provides five, a recent article in the New York Times seems to propose a sixth: the end of real property as a solid investment. Depending on which sources you trust, housing prices will either a) simply keep pace with inflation or b) values will, somehow, magically continue to increase each year.
The majority of the statistics and figures cited in the NYT article tend to lean towards the first option. For instance, the Center for Economic and Policy Research estimates that it will take 20 years to recover the $6 trillion in housing wealth that was lost since 1995. There is a large supply of homes on the market, and more waiting in the wings -- keep in mind that banks are sitting on some foreclosures in the hopes that the market will improve over time. This large supply of homes is likely to increase, causing further competition in the already crowded market. What this all means is that values could continue to decline, or simply remain stagnant.
One thing seems clear to me: we need a new housing policy that prioritizes sustainability,and we need to reward another "new normal" -- the growing renting class.
It's a very nice blog...its so helpful...I'm agree with you about,we need a new housing policy that prioritizes sustainability,and we need to reward another "new normal"...anyway in future hopes more from you..