Dow at Lowest Point Since 1997
There is, however, one very, very positive fact about the huge drops in the housing and stock markets. The losses are a tremendous transfer of wealth from the older generation(s) to the younger. Everything is a bargain again (or will be when the bottom gets here), and those with enough time should see significant appreciation.
Alas, I’ll be dead by then.
Yeah, but you’re screwed if you were successful young and bought into the housing market. . .
Let’s see, how do I put this nicely — that’s nuts.
(1) You have the house — you bought it to live in, right?
(2) It will appreciate again in all those years ahead. It only matters what you sell it for WHEN YOU SELL IT.
Ah, yes, but my particular situation is that I moved to NM to teach, counting on the equity in my NY property to make up for the salary cut (going from business to education), and now that extremely expensive piece of property is no longer expensive, and just sits on the market, week after week after week. . .time to change plans, I guess. I’ll see where things stand when the school year is up.
Actually, you’re screwed if you were successful enough young enough to buy a house and now your 30-years-divorced parents–who don’t speak to each other–both need to move into your back bedroom.
Due to this transfer of wealth, that’s my situation. Couldn’t be more grateful about the handout, from my parents’ retirement funds which they worked 35 years to pay into.
Lucky us, TVs are going to be super cheap so I can buy each of the Bickersons his/her own set.
As Phoenix-Rising points out, there are going to be many weird fallouts from this situation.
As a not-yet ready to retire, I am hoping the bargain hunting on Wall Street will allow me to rebuild a portfolio many times trashed by personal crisis, the Yen crash, (I got to miss the 98/99 adjustments as I had no damned portfolio) and various market twitches.
Anytime there is this much turbulence, there is opportunity. As long as I don’t lose the damned job I just got.