It’s possible this is the unwinding of a credit bubble that began in the early 80s — we’ve just seen the “blow-off top” in the 2000-2007 period.
It may stop mid-stream, but what if it goes all they way (and then some)? Of course, this would be an extreme scenario, but it’s interesting to think of the possibilities.
Personally, I think housing will not be the great “wealth-builder” it’s been in the past.
