Quote: (05-18-2013 03:54 PM)Dexter Morgan Wrote:
Yes, you are correct: Housing prices will inflate and you will have an opportunity to profit IF you get out before the cycle turns. But someone will be left holding the bag - i hope it ísn't you. This is "junk calories" in my view and the wrong approach for the Fed to take. Their is a way to grow the economy without encouraging boom/bust cycles. Its called minimal government intervention, a return to hard currency, and balanced budgets.
As for where we are now, economist Mike Shedlock, a better expert than I, estimates we are around mid-2003 equivalent in housing prices. The bubble crashed in 2006. Well, mid-2005, really, if you count condos AND all the "selling incentives" that decreased the real sales price below the nominal price.
That still tells me real estate is a good investment right now. I would have no problem dumping when things heated up. I sold before the burst and got out of real estate knowing it was insane prior to the last bubble burst. I have been wanting to get back in lately.