The WSJ notes in its quarterly house-price report on D1 something that we haven’t seen enough reporting on: falling house prices are good—for people who want to buy a house, especially for those who couldn’t afford to buy one because everyone else was in a home-buying orgy that sent prices into orbit.

During the boom, home prices rose far faster than incomes. Home prices as measured by the S&P/Case-Shiller national index shot up 74% in the six years through 2006, while median household income rose 15%. (Neither figure is adjusted for inflation.) Now prices in many areas are adjusting back toward more affordable levels, a process that could take several years.

Here’s a good chart.

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Ryan Chittum is a former Wall Street Journal reporter, and deputy editor of The Audit, CJR's business section. If you see notable business journalism, give him a heads-up at rc2538@columbia.edu. Follow him on Twitter at @ryanchittum.