[quote=scaredycat]what about the dude who is just holding cash dollars in this usa bank acct hoping to buya house someday. is he screed? [/quote]
More and more people are being converted to the “inflation is coming” camp, and I agree. Everything points in that direction. It may happen in 2009, it may happen in 2012, but it’s coming, and I think it will be very high inflation.
With that said, those who were robbed of buying a house the last few years (by the housing bubble) may find themselves robbed again (by the reduced purchasing power of their saved cash) if they aren’t careful.
Everything is a gamble of course, but I think 2009 may be as good as it gets, meaning housing has dropped considerably yet mortgage rates are extremely attractive. Once inflation skyrockets, mortgage rates will add hundreds to your potential monthly payment. in my mind, better to lock in 30 yr fixed and buy in 2009.
Personally, if I were renting right now, I would be studying the area I was interested in in very great detail so that this fall I could be making an offer on SOMETHING.
