Housing bust coming?  

redmustang91 58M  
8979 posts
7/19/2005 8:52 am

Last Read:
3/5/2006 9:27 pm

Housing bust coming?

The 20% plus increases in housing prices cannot continue indefinitly. The party has ended in Denver according to the NY Times. Only 5% increases now. Not a problem unless you are stretched to the limit with an interest only loan, interest rates tick up and something bad happens. Taking such huge risks is not smart even if it may lead to big increases in the short term.

I prefer a more cautious approach, with less stress.

Over time the race can be won without the boom and bust approach. Leverage works in both directions. Bankruptcy is on your record for ten years.

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