David B. Shemano wrote:
> Anecdotal info from the LA Times: "Homeownership loses its luster: Economic 
> uncertainty, unstable prices and simple math have given Americans less 
> incentive to buy."   
> http://www.latimes.com/business/la-fi-renters-20110219,0,6846786,full.story.  
> And they published a Michael Kinsley editorial against rising home prices:  
> http://www.latimes.com/news/opinion/commentary/la-oe-kinsley-home-prices-20110215,0,5042856.story.
>   Maybe there is a chance in my lifetime people will think of housing as a 
> depreciating consumption good and not an appreciating capital investment.<

I hope David is right. People should view their homes as consumption
goods, not investment goods and especially not speculative
commodities. Pen-l alumnus Dean Baker has a good critique of the
mystique of homeownership. But then when the US government subsidized
first-time home buyers (as an effort to prop up the housing market) he
went along and bought a house. He's not a hypocrite: his argument
against homeownership (by most people) was based on costs and
benefits.
-- 
Jim Devine /  "Living a life of quiet desperation -- but always with style!"
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