“Just got a conversation with a friend of mine. Her husband is a realtor and she’s pregnant. They are looking to move to a bigger place. She said her husband has made the calculations and they have decided to sell their condo and… rent and wait until the market comes down before they’ll buy again!”
- Makaya, at VREAA, 16 Aug 2011 6:36pm
“I know a guy that did that in 2004/05 – I think they are divorced now.”
- Blammo, at VREAA, 16 Aug 2011 7:37pm
The first story is interesting as a possible case of someone close to the market getting wind of coming weakness. Most insiders in bubble markets, however, don’t foresee their collapse.
Blammo’s anecdote is an example of probable social fall-out of the speculative mania. (‘Probable’ because they may have divorced regardless).
Financial stress is often claimed to be the commonest cause of marital break-up. On the other hand, once the housing bubble imploded across the US, there was talk of many couples being forced to stay together because they couldn’t afford to sell the house and separate.