Mortgage bail out? Are you nuts? I love your work Shiller, but geezus that is sad. It's not fair for those of us who were paying attention. So many dummies used to say to me "it's never going to go down" regarding housing as an investment, regardless of the high prices. I knew they were wrong, but to me they made their own mistakes and should live with them.
When prices dip, and people don't buy (or sign up for life debt), prices decline even more, and more, and more.
Bottom is reached when most of these over-priced shacks fall as far as possible.
Unfortunately, by that time, unemployment will be much, much worse in the (once) 1st-World countries.
People talk about (illbegotten) wealthy folks coming in and "snatching" everything up . . . who are they going to bend over the barrel when not enough people have decent productive jobs?
The highly paid experts forget you need a well paid secure job to get a mortgage.
webaroos 1 month ago
How about the banks put the 4 mil shadow inventory on the market, let it really bottom out and then prices will recover after a few years.
tinozee 2 months ago
Comment removed
tinozee 2 months ago
Mortgage bail out? Are you nuts? I love your work Shiller, but geezus that is sad. It's not fair for those of us who were paying attention. So many dummies used to say to me "it's never going to go down" regarding housing as an investment, regardless of the high prices. I knew they were wrong, but to me they made their own mistakes and should live with them.
Take care and thanks for the great data.
tinozee 2 months ago
Now we're getting back to what a house is for . . . living in . . . . period.
theroilsoil 3 months ago
When prices dip, and people don't buy (or sign up for life debt), prices decline even more, and more, and more.
Bottom is reached when most of these over-priced shacks fall as far as possible.
Unfortunately, by that time, unemployment will be much, much worse in the (once) 1st-World countries.
People talk about (illbegotten) wealthy folks coming in and "snatching" everything up . . . who are they going to bend over the barrel when not enough people have decent productive jobs?
END GAME
theroilsoil 3 months ago