No. of Recommendations: 21
I came across this site and found it fascinating:

http://www.globalpropertyguide.com/real-estate-house-prices/...

I thought it would be most appropriate for this forum where the historic charting function would be useful in discussing the real estate market around the world as opposed to just in the US.

I've been seeing a lot of articles about how the US market is finally starting to "turn around" but all of them are based on too little data from a too short time frame. Until there is a sustained uptrend (a year or more) I think we're still in a global real estate depression.

The other issue that isn't addressed very often in this type of information is the fact that so many people who are underwater on their mortgages are still current in their payments but have very little hope of selling their home in their lifetime. My daughter is in this position and there are really no good solutions. Her current home is valued at just a bit more than half of what they paid for it which makes it extremely unlikely that they will be able to sell it in the next 10-15 years. With children that means they will likely be locked into that area for another 3-5 years after that (getting the children through high school and college) and at that point they probably won't WANT to move.

Part of the reason for increased tax revenues and higher standards of living in the 1990's was the real estate bubble. People got used to buying a home, keeping it for 3-5 years, then selling it at a profit and moving on. That just can't happen in most cases now so people are less likely to travel and less likely to change jobs. That has a major effect on the economy because fewer home sales and stagnant income (salary increases were more dramatic with aggressive job opportunities) mean less disposable income and lower tax revenues.

I have not come to any conclusion about this but thought that much was interesting enough to post here for discussion.

Calabogie
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