Quote:
Originally Posted by CoachKandSportsguy
Asset inflation, everywhere, which is much different than consumables living CPI inflation, is everywhere. In the chart below, you will see that the liquidity from the FED has pushed assets to redonkulous levels, housing prices are not CPI, but owners equivalent rent is, so there will be increases in CPI but that will level off as well and fall back to near normal records. .
The interest rate increases will change this asset valuation levels, so for those looking, best to just wait, as the prices will return to about the 2019 ending levels, there about. . just have your cash ready and please have patience. . . check on your FOMO, (Fear Of Missing Out) you haven't in any way, just wait.
Chart is price to sales ratio of SP500 historical ratio. . . truest measure of valuation as revenue is most scrutinized for fraud.
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This makes sense to me. What I see is rapid asset inflation not wage inflation. Hopefully a housing crash does come. If not we will have a whole generation of people that won't be able to afford to buy a house. That will cause unrest. If a new home is in your near future then:
- Don't sell high and buy high now
- Don't sit and do nothing (your present house value will also go down)
- Sell now and rent (anywhere) until the crash comes then buy