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Gold/Mining/Energy : Precious and Base Metal Investing -- Ignore unavailable to you. Want to Upgrade?

To: A Horse With No Name who wrote (13543)	7/7/2003 3:07:01 PM
From: austrieconomist	Read Replies (2) \| Respond to of 39344

demographics. one point I forgot is a graph that I recall from the Jane Bryant Quinn column several years ago, a demographic study which pointed to gradually decreasing housing starts through 2004, at which time the rate of decline in starts was projected to become more severe. Implication, risks of a lessening of demand for housing at that time, due to demographics. emphasis on payments, rather than price, is something that is suggestive of a bubble, I agree. A final point. When you choose to invest outside historical norms, you should have little doubt about your reasons why. In last 70 years you have had two periods of declining housing prices. The major decline in the 1930s and a more modest downturn in the early 1980s. The rest of that sweep of time was marked by appreciation of varying degrees. So what are the odds of your real estate investment going south on you? Well, maybe we're about to enter a period like the 1930s, but if you have not identified the reasons why that is you might think about following the norm. Still, if you do invest and the economic factors move against you, if you buy the price range with the most traffic in your area, with the most popular housing plan in your area, you'll have done what you can do, if you need to sell.