[quote=FlyerInHi]jazzman, compared to the rest of the world, US housing is still relatively cheap.
If there’s a crash, wouldn’t it happen in China first? Or maybe in the UK? Or New Zealand or Canada?
We should have some warning before the crash hits our shores?[/quote]
Some part of the US are relatively cheap, but I don’t think there is any disputing that New York, and CA—especially the Bay area—are way over-valued. I read an article a short while back that claimed the high end has broken the sound barrier in recent years. What was once considered an expensive home for say $2m now sells for several multiples of that. London is set for a correction. Canada’s is probably way past due, and China is a special case being disconnected from the Anglo-sphere and under state controls. The UK and US are usually in lockstep on many things but I don’t know whether statistically things usually happens first in the US, or the UK. I think it is logical that where prices did not fully correct after the crash and have since been propped up, and then some, by whatever means things will revert to their proverbial mean at some point. If it does happen very gradually, we may not notice it, but the long term effects of that slow puncture are what worries some.
