Everyone knows that housing prices in terms of dollars have declined. The average price of a home in a 20 city index fell 5.1% comapred to the same time last year. There has been a decling trend since 2005 and not housing prices are at 2002 levels.
As you can see from the above graph of average housing prices that since about 2000, housing prices went all the way up and then since 2005, prices are going down. The bubble popped in 2007 and since then prices are going lower and lower.
The charts like above are the ones that they show in traditional news sources. What they do not show you are charts like below, which shows the US Housing Price/Gold ratio.
Notice that since 2005 the ratio has plummeted. Whereas in teh first chart, housing prices seemed to have at least flattened since 2008-10. Price is important, however what must also be looked at is value. My philosophy is to try to avoid looking at things in terms of price as measured in terms of the dollar. Instead, I look at measuring an items in terms of gold, silver, oil, and other items. To onky look at the price of the home in terms of dollars is deceptive. Se,, the purchasing value of the dollar has fallen. So the price of the house may stay flat or actually go up, but the value can go down. Notice, the value of a house has gone down in terms of gold since 2008 despite what the mainstream media cliam that it has stabilized since 2008. That is because they are measuring prices in terms of dollars.
My point is to beware when someone talks about prices in terms of dollars. It is better to think in terms of value not price.