The Link: Gas and Land Values Part II

While the Wall Street Journal puts the gnashing of teeth over what the Federal Reserve will do next in terms of rates (nothing or raise them over inflation inflammation), we decided that we already flagged that for you last week. So instead we thought it better to return to one of our favorite story lines - the link between home values and gas (as seen in our prior post The Link: Gass and Land Values). The Atlantic Monthly some months back did a terrific piece arguing that the McMansions of today's suburbia may be the slums of tomorrow. They have a compelling argument. (We just wish it was easier to link to for you on their website). As we've shown you before, housing markets across the country are not equally taking the hit. Instead, consider who is: Often times it is the burbs. Why do you care? Because even if oil is experiencing a bubble, gas isn't likely to return to the levels that commuting in a Hummer is viable. Thus, my city row house looks pretty good. Today's LA Time's story shows how Southern Californian commuters are experiencing price reductions in the housing markets furthest out. The story is about Los Angeles, but we think it might as well be about any big city. I could substitute LA and Pasadena for Washington, D.C. and say... Fairfax City, Virginia?