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Strategies & Market Trends : The Residential Real Estate Crash Index
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To: chomolungma who wrote (498)8/29/2001 2:32:17 PM
From: TradeliteRead Replies (2) of 306849
 
well, obviously you are attempting to apply commercial real estate principles to home ownership, and that's not what the title of this message board (i.e. "residential real estate crash) is about.

Also, don't you just suppose that the down payment we originally invested looks like small potatoes today due to inflation?

You need to consider the effects of inflation on home ownership costs, too.....mortgage payments look smaller and smaller with each passing year....they are fixed, while usually one's income increases and inflation renders such payments very small in comparison.

Landlords have a nasty habit of increasing your monthly payments to keep up with inflation--and one can only hope that one's income keeps up with same.
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