FYI... Average Price of a Home in USA

[ebass]

Hi Everyone:

ABC News reported today that the average price of a home in the US is now at $205,000. Speculators are cashing in on the housing boom....and housing prices have risen 15% in the last year.....

 As I recall, this figure was for a 2 bedroom home, and it was fairly uniform around the country, the exception being in the lower mid-west, where that figure will get you 3 bedrooms........no doubt there will be exceptions, but if you accept these figures, it makes more of a case for owner-builders than ever before..........

ebass

[Epiphany]

In NE Texas where I am, you can buy a new 3-2-2 for $120,000 or so (and up).  But next to the housing boom article is another one saying that foreclosures for next month are at a record high - because people bought more house than they could afford.

[Amanda_931]

While I can sympathize with someone's wanting a "nice house" in a "nice neighborhood" there is definitely something to be said for substandard housing, especially in the city.

Although by now, some of that in the Nashville area is well over $150k.

The only question is, is that a bubble about to burst?  There are some horrible scenarios out there.

Sometimes I'm glad that while I usually buy into the worst of them, I'm never ever right.

[Neil]

Is the bubble about to burst?  No way.  There is still massive demand and supply is strained.  Until there is a glut of housing prices will continue to rise.  The rate of change might slow but definitely prices won't burst.

I'm very happy I purchased by 40 acres when I did.  I probably couldn't afford it today.  And the cool thing is I paid it off 4 weeks ago!

[Amanda_931]

The demand isn't because the  people who are buying $200,000 homes are homeless.  

I bought a house that was about 1 1/2 times my yearly income.  And almost immediately got laid off.  It got a little rough.  A roof that should have been replaced leaked for almost two years.

I'd think that people buying houses right now could be in worse shape.

[Shelley]

Hey Neil, congrats.  A big accomplishment