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Strategies & Market Trends : The Residential Real Estate Crash Index
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To: Elroy Jetson who wrote (8786)2/10/2003 8:27:06 AM
From: Amy JRead Replies (3) of 306849
 
Hi Elroy, RE: "1) in the 70's inflation, did real estate prices drop initially, when interest rates initially rose?
(2) then when inflation kicked into full gear, did RE prices inflect & run up as inflation went into full gear?
No and no."
--------

I think you are saying:

1) So, RE prices did not drop when interest rates initially rose.
2) RE prices didn't run up with inflation, or at least did not rise as fast as inflation? (but that implies RE$ didn't keep up with inflation?)

Maybe another way to ask this question is, what did the RE prices do? It sounds like the RE prices went up (without any initial price drop), but RE pricing didn't keep up with inflation?

Thank you,
Amy J
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