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Non-Tech : Deflation
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To: JF Quinnelly who wrote (256)1/24/2004 5:55:57 AM
From: Maurice Winn  Read Replies (2) of 621
 
jfred, but what about the price of a 2 year old house and a vacant lot with a new house to build on it? That comparison should be easy enough. If a new house to be built is a lot cheaper than a 1 or 2 year old house next door, then a price drop is certain.

If the prices are similar, then there might not be much of a drop. Then again, maybe people per house has dropped a lot with low interest rates and when rates go back up, house prices will drop and nobody will build new houses as they go back to sharing a house.

Mqurice
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