WSJ published an article Tuesday that may be received as a slap in the face by many home owners.  The article (with the byline Americans still see real estate as their best shot at wealth. It may be wishful thinking.) addresses the future of home prices.   You can read the entire article here, however below are several points I found especially noteworthy.

• Economists predict home prices will continue to fall for 1-3 years and then “scrape along the bottom” for many years after
• Historically, house prices have risen at a rate just above inflation and roughly inline with household income (some experts even say it’s a bad idea to count on your home value rising at all!)
• Home values in the Carolinas are predicted to stay strong due to retirees and immigration
• We can expect major challenges in areas where there aren’t enough young buyers to absorb inventory from boomers who are selling

The moral of the story? Real estate is not a silver bullet to wealth, but rather a good way “to get rich slowly.”  If you need to sell, price your home to move NOW- prices are falling and will continue to do so for years.