[quote=rockingtime]I think the wildcard is interest rate
Right now, the govt is propping up a lot of prices here n there by keeping rates low.
Not sure how do you differentiate crash Vs correction. But as we all agree, a correction is coming both in stock market and housing market.
I see a lot of people dis-agreeing saying “this time is different” but history has taught us otherwise.
A correction is due, the reasons may not be the same. So each time is indeed different.[/quote]
The problem is every government has low interest rates with Europe (Germany) well in the negatives now (you pay them money to have your money in their bank)…
Another problem I see is they can extend this game far longer than most of us will care or be alive. Japan has been low for near 30 years now (80s?) and if the US or Europe does this, do you really care you “got in” at the best prices?
If rates don’t change for a long time, you may be dead before you can even enjoy a home.
In the end, buy if you need to and if not, just rent and accept that
Unlike stocks, since you have to live in a place, I say save enough to not put much stress on your budget and buy a place to live (small if you are single to keep cost closer to rent) and don’t worry about where housing will head. While you wait, take advantage of the tax benefits (if possible) and save a war chest for any collapse (if any)…IMO, no collapse is happening anytime soon.
