[quote=deadzone]sdr, you once again miss the point regarding 1M home buyers. Accept it or not there is a economic shift happening right now. Most of the wealth produced in the last 20 years was due to the ponzi economy.
Going forward, outside of inheritances, there will be fewer people with large wealth increases than over the last 20 years or so. I’m not saying there wont’ be any new wealth and of course there will always be some demand for 1M dollar houses. The point is the Pool is going to shrink substantially in the coming years. Again, if you can’t see this you are blind.[/quote]
Agree with DZ. A lot of the oversized inheritance “windfalls” over the past 5-10 years have been due to the bubbles. Someone who died in 2006 left a lot more to their kids than someone who dies in 2010. A deflationist might argue that someone who dies in 2012 will leave even less.
Real example of someone I know who inherited in 2007…if the parents would have died this year (and given the same holdings/investments over that period of time), the heirs would have gotten about 30% less this year vs. 2007.
