The Fertility of Real Estate

If there are links between higher fertility and the consumption of high fat dairy foods, like ice cream, then it should really come as no surprise, the natural link between fertility and real estate. The ice cream stat says that women who eat more than one serving daily of a high fat dairy product are less likely to suffer ovulation problems- and in effect increase their potential fertility. Who knew ice cream could actually be having a positive effect on America?

But, less alarming, is the fact that just prior to the sub-prime mortgage crisis- when homes were being purchased at break neck speed, the nation's total fertility rate reached a high point- higher than it had been since 1961! Is available housing key to the "baby boom"? And is a healthy real estate economy necessary for the future health of a growing nation?

In 2008, the fertility rate had reached an average of 2.1, the hypothetical level needed to maintain the country's population. Unlike Europe, China, Japan and much of the Middle East, America's population was boasting a boom that would help her avoid a future of shrinking work forces- a gloomy prospect that naturally leads to low average birth rates and a viscous cycle of low socioeconomic morale.

There has been a long history of social scientist's observations of the existing links between housing and fertility. In the depression of the 1930's, when homes were scarce and beyond the means of most young couples the result was delayed marriage and fewer children. But, most recently, with the surplus of wide-open mortgages and so many "creative" loan products, families were buying into real estate, and many of them buying into bigger houses. Does this explain the surge of babies in these recent years? No one knows for sure, but it seems like a viable connection to make.

Many of the recently constructed ARM-financed Mc Mansions were built out in no man's land, where land was cheap like borscht. These large homes became the standard for "affordable" suburban living. But, given the amount of time it takes to get anywhere to work, the cost for women to go out into the work force rose dramatically- and subsequently more women have remained home to fill those big houses with bigger families. Again, this is all speculation in attempt to decipher the sudden rise in fertility rates.

Of course, other factors beyond housing availability play into fertility rates, and these include race, religion, and economic status among others. But, it seems evident that all signs point towards a strong connection between a booming real estate economy and a booming population.

Foreclosures, however, are not encouraging people to have children and given today's economic climate, it seems likely that the general population will reduce their needs for everything that costs, including children. Hopefully America can quickly rise up out its current real estate downturn and get back toward a boom that'll boost its future success as a nation.