Reuters Interviews Professor Robert Shiller (Case Shiller Index) regarding the latest Case Shiller report. The more I listen to him, the more I become fascinated by his wisdom. Robert Shiller has not recently been saying what I want to hear, but I believe he speaks the truth…
He touches on the fact that “People are rethinking their housing choices”. What do you think of the idea that the population is preferring Renting over Owning? Do you think that trend will continue or do you think it is like a person after a bad breakup swearing off the opposite sex? (a short-term phase while we lick our wounds from the housing bubble burst?)
The thought was brought up to me by John Murphy, that this next generation maybe in a changing world where relocation is so common that owning may not make as much sense. There is an element of truth in that, what if the workforce became so mobile/transient that rentals became the only real viable housing option for a good portion of the population? How would that impact housing values?
- Case-Shiller: House Prices decline in October (calculatedriskblog.com)
- Case-Shiller, Consumer Confidence (economistsoutlook.blogs.realtor.org)
- Case-Shiller Index: Minneapolis Housing Market Improves – Home Prices Declined by 7.4% Year Over Year (johnmurphyreports.com)