If the medium home price dropped 9% to $206,500, that means the house price dropped by about $20,000. Ok, so what. Unless you were in an ARM, then your payments are the same (assuming taxes stayed the same).
Is that a lot of money? Maybe, but consider if you buy a $30,000 car, you probably lost $10,000 in the value of the car, and will lose another $10,000 in 3 years, and most of the total in 5 to 7 years if you can even sell it. My point is that cars tend lose a lot more than houses.
Yes, if you have a $400,000 house and it dropped 10%, then that is more money. But there is probably a $50,000 car in the driveway.
Car purchases are far more damaging to a persons cash flow than a house. You pay a lot, and have nothing at the end of it’s relatively short life
Interesting perspective. There is housing that has been around for hundreds of years in all parts of the globe. They are not torn down. It all depends on how you take care of the Breckenridge real estate property.
True, but it also helps when the house is built well in the first place. There’s “old world craftsmanship”, and then there’s modern-day American disposable building. Here there are very well built homes and new model POC homes i put $6000 into my property last year: i still have to replace plumbing, roof & siding…all big ticket items…
there may be some houses built to last a couple hundred years, but mine wasn’t….and even those well built houses will need regular maintenance, which is ok if you’re young & handy, but im getting too old to do shingles again… Gee, what’s the deal here? My Breckenridge realtor in told me that I needed to buy a new home NOW a couple of months ago because the prices are already heading back up and if I don’t act now I will miss out on the biggest boom in history?
