by Rob Wicker
The Wall Street Journal evaluated why the housing crisis should end in 2011.
1. Houses are affordable. The ratio of monthly income to housing prices is the lowest it’s been in 35 years.
2. As a result, in many markets it makes more sense to buy rather than rent.
3. Investors are starting to buy houses and condos, and in some cases paying cash. This indicates that housing is nearing a bottom.
Jack Ablin, the Chief Financial Officer for Harris Bank in Chicago, points out that the recovery will not be as dramatic as the run-up that took place in the middle of the decade. Buyers should be prepared to hold a property for 10 years or more. Read the full article here: