{"id":3464,"date":"2011-02-09T09:58:36","date_gmt":"2011-02-09T16:58:36","guid":{"rendered":"http:\/\/www.jasonapollovoss.local\/?p=3464"},"modified":"2018-09-21T02:08:13","modified_gmt":"2018-09-21T06:08:13","slug":"data-affirms-that-houses-are-affordable","status":"publish","type":"post","link":"https:\/\/jasonapollovoss.com\/web\/2011\/02\/09\/data-affirms-that-houses-are-affordable\/","title":{"rendered":"Data affirms that houses are affordable"},"content":{"rendered":"

Moody’s Analytics announced data this morning that indicates that homes in the United States are the most affordable they have been since before the massive real estate bubble.\u00a0 Specifically, the data compare median home prices to median household income.<\/span><\/p>\n

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Clearly the lower the ratio the better.\u00a0 In September the ratio hit a level of 1.6 as compared to the height of the bubble in late 2005 when the ratio was 2.3.\u00a0 That figure of 1.6 compares to an average ratio of 1.9 for the span of years for which the data have been gathered.<\/span><\/p>\n

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Analysis:<\/strong> Recently I have been writing about the real estate market in the United States more.\u00a0 I have especially written about the poor supply and demand fundamentals of the real estate market<\/a>.\u00a0 Frankly there is no good news.\u00a0 While today’s news is “positive” it really just affirms that things are miserable out there if you own real estate<\/em>.\u00a0 But that is a big “if.”<\/span><\/p>\n

 <\/p>\n

You see all of making money as an investor boils down to four simple words: buy low, sell high.\u00a0 The supply of houses is high, the demand is low.\u00a0 Incomes are rising.\u00a0 It is a buyers market.\u00a0 If there is any market where fundamentals favor the buyer it is real estate.\u00a0 Let me repeat that: the bull market is in real estate.<\/span><\/p>\n

 <\/p>\n

Stocks are about fairly valued.\u00a0 The bond markets are waiting for interest rates to rise and prices to fall.\u00a0 Gold is at its absolute peak and will likely collapse as soon as the Chinese economic bubble bursts, taking other commodities with it, too.<\/span><\/p>\n

 <\/p>\n

Today’s data affirm that if you can afford it and you can find financing for it – real estate is a good investment.<\/span><\/p>\n

 <\/p>\n

Importance grade:<\/strong> 4; while it may seem that the data today is terribly important it isn’t.\u00a0 It merely affirms what everyone has known for the last 3 years – it sucks to own much real estate.<\/span><\/p>\n

 <\/p>\n

Jason<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Moody’s Analytics announced data this morning that indicates that homes in the United States are the most affordable they have been since before the massive real estate bubble.\u00a0 Specifically, the data compare median home prices to median household income.   Clearly the lower the ratio the better.\u00a0 In September the ratio hit a level of […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[3],"tags":[],"class_list":["post-3464","post","type-post","status-publish","format-standard","hentry","category-the-blog"],"_links":{"self":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts\/3464","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/comments?post=3464"}],"version-history":[{"count":0,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/posts\/3464\/revisions"}],"wp:attachment":[{"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/media?parent=3464"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/categories?post=3464"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/jasonapollovoss.com\/web\/wp-json\/wp\/v2\/tags?post=3464"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}