That has to be good for the economy? All these people walking away from 2-4 grand mortgages are no longer house poor. So it seems higher forclosures and dropping property values is actually good not bad. I never understood the inflate housing prices beyond normality and then telling people to borrow from the home to spend. Think about it Joe Sixpack leaves his 4 Grand a month inflated mortgage and rents a house like his down the street for 1.5 Grand a month. Its a no brainer.
Most housing in the United States is overpriced. Way overpriced. Seek a bargain or don't seek at all. Your dream home may not be your dream for more than a few years. And, you may want to sell one day. What if you paid too much or the market drops?
Most housing in the United States is overpriced. Way overpriced. Can't be parking a 40k pick up truck in the driveway of a 100k home. You, a spouse and your kid can't drive three autos worth more than the value of your home. The price of auto's has to correlate to housing.
No one says you have to buy a 40K truck when you can buy a 20K truck today. (Toyota Tacoma 16.5K) Rav 4 SUV 22K Ford Escape SUV 21060K And I am quoting MSRP.
Oh yeah? In some parts of Detroit you can park a 2k beater on your drive and its worth more than the house
They say that 27%-36% of your income should go to housing and 7%-10% to your transportation(gas & insurance should go into this number) So many people spend way too much on their cars. It sickening to see someone working at walmart for 8 bucks an hour driving a 2010 escalade because he lives with his parents and can afford $800 per month car payments.