Cooprider,
Thanks for commenting, and I agree that incomes are important. But, please, check your math! A 100% appreciation would result in the house being at $814 today ($407 times 2). But somehow you come up with 175% appreciation??

The house went from $407 to, say, $712.5 in 79 months. That comes to a monthly appreciation of 0.7113% per month. That’s 8.9% per year. That’s still very high, and incomes haven’t increased that fast. But it’s nowhere near the 24% annual apprication in housing that you came up with. That’s what housing shrills like Lereah wanted us to believe!

Us housing bears need to be relatviely proficient in math…