Monday, January 23, 2012

The "New Normal" in 2012: Renting Doesn't Mean "Throwing Money Away" and Buying a House Isn't an "Investment"

The US Homeownership rate continues to drop.  It used to be that typically, housing appreciated at the rate of inflation, 2% per year, plus an additional 1-2% per year.  Not so post-bubble.  Locally and nationally, home price declines are expected to continue for the next couple years; C'ville Area's home sales are at a 13-year low.  Nationwide, more and more folks are coming to the conclusion that renting is the more prudent financial choice.  

1 comment:

Art Nesten said...

It has taken me a few years to be able to understand the kind of argument that is being made by BC; but I have come to see that it is a true description of our current circumstances. How unfortunate for the vast majority of citizens.