I agree with 8:58, and would only add ... tell that to the New Yorkers who bought in 1987. At the time, the average price for a 1-3 bedroom home/condo was $450k. It dropped to $250k by 1992 (45% drop in 5 years, more if you figure in inflation). The price didn't go back up to $450k until 1997, and didn't reach the inflation-adjusted level until 2001. So if you bought in 1987, your investment was either down or flat for almost 15 years.
Doesn't anyone here read curbed.com too? They had a link to the graph below on Friday. All info from the graph except inflation, which I looked up with a CPI calculator.
I agree with 8:58, and would only add ... tell that to the New Yorkers who bought in 1987. At the time, the average price for a 1-3 bedroom home/condo was $450k. It dropped to $250k by 1992 (45% drop in 5 years, more if you figure in inflation). The price didn't go back up to $450k until 1997, and didn't reach the inflation-adjusted level until 2001. So if you bought in 1987, your investment was either down or flat for almost 15 years.
Doesn't anyone here read curbed.com too? They had a link to the graph below on Friday. All info from the graph except inflation, which I looked up with a CPI calculator.
http://www.observer.com/2007/bloombergs-dour-graph-waiting-nycs-decline
Posted by: sloper at August 20, 2007 12:32 AM in response to Fed Cuts Discount Rate, Markets Rejoice