>>Interesting opinion on why current events don't equate past downturns:
>>
>>http://www.nytimes.com/2008/02/13/opinion/13reich.html?ex=1360645200&en=033f6da01d771f7d&ei=5090&partner=rssuserland&emc=rss
>
>I have to agree. I often think of the percent of my income it took to qualify for a home in 1973, when we bought our first house. My wife was a medical secretary and could have bought a house on her income alone. At that time the recommendation was the mortgage payment or rent should be not more than 20% of your income. So on my income alone I qualified, making $3.65 an hour as an electronics technician.
>
>Over the years we have seen property taxes in California increase, along with the cost of a home. The politicians, lending intuitions and real estate industry along with speculators have driven up the cost of a home. Today I make over $90,000 and do not qualify to buy a house. My income should be at least $150,000 to buy a median priced house in my area.
>
>So I would add to the concept of raising wages, doing something about the housing market, etc.

Our housing market is as crazy as yours Tom. Even more so London where I am. Ordinary family houses going for £500000 (almost a million dollars)

Nick