Beebo, you make a great point about not saving enough.

The problem is that with HEW/MEWs & HELOCs, people are not saving anyway. The savings come from appreciation (not from paying down debt), but as well all know, many have already spent that appreciation by cashing out. If debt is not paid down, the “forced savings” you’re alluding to is illusory.

Public policy should be to encourage/teach the public to save, not to buy overpriced assets.

Assuming housing prices stay constant for the next 3 years, a middle class family in San Diego could save enough to pay for the college eduction of a child by opting to rent rather than to buy. They could then buy in later years when prices are sane. I wish the public would carefully consider their options rather than blindly follow the herd.