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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: CalculatedRisk who wrote (2707)	3/23/2004 12:22:20 AM
From: Elroy Jetson	Read Replies (1) \| Respond to of 116555

You have the terrain well mapped out. Home prices correlate with incomes in the long-run while financing terms affects home prices in the short-term, especially homes under $1 million as mortgage interest over that figure is no longer tax-deductible. Home financing with minimal down-payments was also popular in the end-bubble late 1980's. Here's some more charts: 1.) an updated chart of Los Angeles home prices since 1900 (with a possible projection); home.pacbell.net 2.) the underlying debt bubbles; home.pacbell.net 3.) personal savings rates for contrast; home.pacbell.net 4.) U.S. home equity percentage since 1950; home.pacbell.net 5.) a graph of real estate prices in Japan since 1980. home.pacbell.net