Don't Bet the House

How to keep your home equity afloat if the housing market takes a dive

The best definition of a housing bubble is this: we are in one when most homeowners could not afford their house at its current market value. Rapidly rising prices coupled with stagnant wages in recent years have created just such a disconnect for many people. If you're one, now is the time to look at how you are using, and what you are doing to protect, your valuable home equity.

The debate rages as to whether housing prices have got out of whack with reality--like Internet stocks four years ago--and are likely to collapse in the next year or two. I'm...

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