ladelfina
Thinks s/he gets paid by the post
- Joined
- Oct 18, 2005
- Messages
- 2,713
beh.. you might think so.. sure, places like HI or Manhattan or beach zones will almost always command higher prices overall, but that doesn't necessarily mean they can keep running way ahead of the pack forever.. they need someplace for the teachers, policemen, gardeners and restaurant workers to live, and at some point rich people won't want to spend a million bucks on a skeezy condo, even if it is in Hawaii.
The RE boom has been happening in Australia, Spain, Eastern Europe, crappy areas of Vancouver.. I imagine because people want somewhere 'solid' to put their money (often called the 'flight to quality'). There's a UK/Australian idiom, "safe as houses"!! They may want to re-visit that.. the bust there may well dwarf that of the US:
The RE boom has been happening in Australia, Spain, Eastern Europe, crappy areas of Vancouver.. I imagine because people want somewhere 'solid' to put their money (often called the 'flight to quality'). There's a UK/Australian idiom, "safe as houses"!! They may want to re-visit that.. the bust there may well dwarf that of the US:
Britain's economy | The bust begins | Economist.comBetween the first quarter of 1997 and the first quarter of 2007, house prices rose by 214%. This was the third highest among 20 countries covered by The Economist. It contrasts with a rise of 135% in America up to its peak in 2006.