The compounding effects are interesting to consider. Wages have been depressed and housing costs have increased, particularly in areas people want to move to d

The compounding effects are interesting to consider. Wages have been depressed and housing costs have increased, particularly in areas people want to move to due to more job opportunities. Owning a home has been a forcing mechanism for savings for the US for some time. You get a highly-leveraged mortgage, build equity (ie. forced savings) and hopefully see your investment appreciate, and ultimately own your home clear and free for retiring there, or selling and downsizing to fund retirement. I wonder what will happen in 20-30 years time as we see more and more people unable to own a home. Their earning power will diminish as they age and retire, yet their house costs will continue growing if they rent.