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Movin’ on out

Perspective: Demographics-as-destiny argument has broken down

The National Association of Realtors this week lost a good man, David Lereah, though he is staying close to home by moving to Move. Lereah did not get it all right, but who did? If you read his words closely, he sent out warnings, but he also got caught up in the housing market exuberance. Here is a synopsis from Lereah's book, "Why the Real Estate Boom Will Not Bust - And How You Can Profit from It: How to Build Wealth in Today's Expanding Real Estate Market": "Although some economists believe that the real estate market may be headed for bubble territory, Lereah disagrees, arguing that continued low interest rates, a healthy boomer population, and the 'boomer echo' of next-generation buyers should keep the market healthy for at least the next 10 years." The demographics-as-destiny argument broke down in the last year, as a loosey-goosey subprime mortgage program has stopped propping it up. And the housing market is much worse because of it. Lereah was in a precarious seat...