A consortium argued about the state of the real estate market 's sustainability.
Reasons for a bubble burst were given such as:
the rapid rise "justified by the fundamentals. He compared it to the late-1990s stock market bubble and in the Japanese real estate market in the 1980s before prices they collapsed."
On the positive side, the article showed that
"while housing prices generally tracked close to the overall inflation rate for nearly 40 years starting in the mid-1950s, home values have grown about 40 percent in real terms since 1995."
Billionaire Sam Zell, the U.S.'s largest landlord, is bullish and shared his optimism of the real estate market in an online video.
The Online Magazine also has some other articles that mentioned three reasons that there is not a bubble:
1. Low Interest Rates
2. Demand
3. Despite tests to the general economy, real estate has yet to be tested.
To be fair and balanced, Yale University economist Robert Shiller the Author who predicted the stock tech bubble, says that we are just as crazy for real estate.
My take on that argument is that you cannot compare real estate to stocks as we buy real estate for more than just its speculative value.
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