isn't that pretty much the classic paradox of deflation? People who still have jobs see their purchasing power go up, but they can't enjoy it because they're feeling too insecure to take advantage of it.

If Cormac McCarthy is to be believed, ammunition, canned food, and shoes are going to be the most valuable post-apocalyptic commodities. Don't buy a house--buy a gun.

The definition of economic statistics that lie is made clear by ANY statistics from the National Assoc. of Realtors.

The nation is still far away from the prudent standard of 30-35% of income being used for housing. Obviously the ratio varies NOW from region to region, but those 'high value' places like NYC, SD, and SF are beginning to fall. We are nowhere near the bottom on RE pricing, and the Option ARM resets are still ahead of us. Even prime mortages are going into default at high rates.

When you are not feeling depressed or suicidal, check out this mega-chart post at Calculated Risk from this weekend (and the followup posts).

Don't buy a house--buy a gun

Yep, and hurry to get your orders in. Anecdotes indicate that guns and ammo are sold out (with waiting lists) all over the country.

This isn't your grandfather's depression. Think 1895 or 1873.

"If Cormac McCarthy is to be believed..."

...the most valuable commodity is going to be a child, who promises the possibility of a future for humanity in the face of desolation, thus giving you the strength to go on instead of just killing yourself.

That was the major thematic element of that book, is all I'm saying.

Oh, Ezra, you are soooo Californian! Out here in the east, homes are made from brick, not wood. Brick has post-apocalyptic value, too, though -- Cormac McCarthy can't shoot me through a brick wall.

I hereby apologize on the behalf of my entire profession for the crap-stats that the NAR is still pumping out. I fail to see what this made-up BS index has to do with much of anything. Furthermore, almost all NAR crap-stats fail to account for the fact that we have a large nation; there is not one giant mega "American Real Estate Market," but rather hundreds of local ones that all move quite independently of one another, within the confines of our national and local economies

Yes, children are the best hope for each of us as individuals and for the society. Every society has known this simple fact since the beginning of human civilization and thus has emphasized family and child bearing and child rearing—it’s only the modern industrial/post-industrial world that has worked to destroy the family and has decided that children are an inconvenience, a threat to the environment, an intolerable expense, etc.

Family and children will be even more important in the coming collapse of our insane world. So too will friendships and local community, which are also fundamental to human existence. But also be sure to stock up on food, water, firearms, ammunition, durable clothing, etc.

After the long decadent party, it’s back to the basics of human civilization.

our crisis hotline is filled with calls from people whose cars are being repossessed, have no way to get to work..they .need lists for local shelters, are laid off, calling for prayer to get refinancing on homes, losing their utilities, cannot afford medication they need for all sorts of illnesses...some living in their cars and their cellfone is their lifeline, calling for prayer so they can get education or training...families imploding under the strain.
be nice to people you meet.
there is a lot of silent suffering out there.

People who still have jobs see their purchasing power go up...

You will always do better going against the crowd in the long run.

When times are good and everyone is spending, it's time to be saving and when times are bad....that's the time to spend.

Now is a very good time to acquire property. Mortgages are tough. However, you can find private money pretty easily. I mostly get others who have 401(k)s or IRAs and want to make more than CD's pay with security to help me buy the property, rent it and give the lenders a first position note.

It's right there in front of you...under your nose.