On the average, home values DO double every ten years. However, this little span of time we are in now, home prices have decreased or stayed the same for quite some time now. I may take several years before the prices start climbing back up.
This is one of the main reasons I say that home ownership should not be for the short term. I am thinking that a more normal rise in home prices may not occur until somewhere between 2010 and 2012 IF the government stays away from spending any more money, which we obviously DO NOT have, to those who are renovating their offices with $1.5 Mil or buying a company jet for several million. Sorry, getting off track.
But typically and on the average, home prices just about double every ten years or so. That being said, no one knows what the future will hold.
Hope that helps,