patrick.net

"Ms. Richey's family of five used some of the money to buy season tickets to Disneyland, and plans to take a Carnival cruise to Mexico in March. Mr. Fernandez takes his girlfriend out to dinner more frequently. "We're saving lots of money," Ms. Richey says."

Perfect, the whole problem explained in one sentence.

Spending is saving. Obedience is freedom. It's truly Orwell in the end after all.

"stealth stimulus" I never thought of the term but know what they are talking about as I saw the reverse happening in Portland.

Yeah, one of the arguments I presented to the "Buy now or be priced out forever" folks during the run-up was that if you did buy too much mortgage you can't support the local economy. No more movie nights, no more theater, no more lattes and fresh baked breads, etc. I know of some instances where folks cashed out IRA's to stay in the home.

And sure enough, Portland has lost some great restaurants, Genoa, ie had been around for 30+ years:O(

Part of what made Portland so great is now suffering due to the high home prices. Which is one of my reasons to continue to rent 'til prices come down. I like saving money for retirement, rainy day fund, unforeseen kid expenses, Xcountry skiing weekends on Hood, weekends at Cannon Beach, hanging out in cafes, etc. I may be a renter forever if that is what it takes. I refuse to be a slave to my home. I want the option to work part time when my kids no longer need daycare. I could go on.

Do not buy into this "American Dream" bs of mortgage ownership. There is more to life.

So true Leigh........been a renter forever and I turn 50 next year. While the wife and I own property in a foreign country, it costs 1/5 of what a comp would here.

Friends who are homewoners don't join us for dinner out at a nice restaursnt because they can't afford it.....we can't find friends to go to Vegas (or even a mountain weekend) with us because they are debt slaves.......etc. Been saving money for years now and have quite a nest egg built up.......all because I rent.

In America you don't own your house, your house owns you !!!!

The article states that these people moved to Palmdale (where RE is dropping like a rock like the rest of LA county). 12" of sand in your house when the wind blows, which is always. The "haunting" vistas referred to in the story are accentuated by the dust & smog. So, that's punishment enough for walking away...