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To: Rational Thought

They are going to fall more than 20% and this is not a bad thing. It is a neccessary correction.

In the 1970s Americans were dold the notion that real estate prices could rise forever and become this great investment funding your retirement. That was a Keynesian lie. Real estate was going up because the boomers were coming into their own.


16 posted on 07/15/2011 3:30:57 PM PDT by MrEdd (Heck? Geewhiz Cripes, thats the place where people who don't believe in Gosh think they aint going.)
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To: MrEdd

I don’t believe real estate values dropping more is a good thing, anymore than a Dow dropping to 5,000 would be considered a good thing.

You’re correct in saying that most considered their real estate holdings an investment in their retirements. Whether right or wrong, the plunge in values has accomplished many losing most of their assets, that meaning no longer having anything to retire on.

Before the Fed printing presses began running 24/7, our monetary system was considered a finite system, meaning when someone lost or spent a dollar, someone else gained or earned a dollar. I wonder where all the dollars which have been taken or lost from the middle class via the housing plunge have gone?


22 posted on 07/16/2011 8:35:22 AM PDT by Rational Thought
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