The relevance is in noting that the arguments used to promote today’s real estate to the moon are nothing new. The article shows they’ve been tried before, with the same flimsy underpinnings as now.
Yes, housing was overpriced in the early 1980s. The 1981-82 correction proved it.
If you bought in 1983 and held until today then sure, you’re doing fine. But there were dicey times in the early 1990s when you might not have been. Every investment does well in the long run– provided you can get to the long run.
This dataquick article shows that not everyone in the late 1980s and early 1990s could or did buy-and-hold. Sometimes that’s not an option.
I’m not sure how to interpret your comment about gold vis-a-vis 1983 and today. A 10% increase in price over twenty-two years is a terrible investment. Is that what you wanted to show? If so, we agree.
