- U.S. home prices have gained almost 60 percent since March 31, 2012. Household income is up a little less than 30 percent in the same period.
- Home prices could see a “significant correction or bear market.” We seem to have a very strong consensus that the next time home prices fall, it won’t be like 2007-2012.
- Real estate’s history is full of boom-and-bust cycles, with periods of sharp price appreciation that suddenly skid to a halt. Some of those who study the housing market predict annual price increases will slow. Others think values could dip.
- The housing market is much less dependent on starter housing “than historically has been the case.” Millennials are delaying marriage, having children and saving money, which affects demand for housing.
- Years of economic growth and easy financing have pushed prices for office towers, apartments and warehouses to record heights. Many are worried some buyers are betting too boldly that they can just keep raising rents.
