Mainstream media only ever considers the homeowner and how they are affected by the collapse of the bubble.
No one ever considers the renters and upcoming generation of soon-to-be home buyers. Occasionally they allude to them as waiting on the sidelines to jump into the market before prices start to skyrocket again, but these people don’t have over inflated homes to leverage into bigger homes they couldn’t afford otherwise. They are simply priced out.
No doubt a 50% correction will be a rough ride, and an unwelcome wakeup call to those basking in success from the over inflation, but it is an absolutely necessary correction.
The idea of a government bail out makes me sick. It will only worsen things as people are priced out for an even longer period of time. Not to mention waning demand as baby boomers retire, downsize and, well, move on…
No one has considered these people, and I only hope that ignorance speeds up the correction in housing, and stabilizing of the economy. All they can do is find a way to make enough to survive and wait it out…the correction is coming.
