11/23/2023 0 Comments Boise housing bubble 2021![]() ![]() “Bubbles occur when there’s a frenzy to buy something, but then the price of whatever you’ve bought fairly quickly drops off because it was never worth what this frenzy made it out to be.”Ī good recent example of a bubble might be the meme stock craze earlier in 2021, when investors pumped up the stock prices of companies like GameStop despite the company having made no real change to its business. “A bubble is when prices increase at a significant pace due to speculation without any real economic activity to back it up,” says Bennett. ![]() She explained how you can differentiate a housing bubble from what we’re experiencing in 2021, and may continue to for the foreseeable future. We spoke to one of our in-house experts, Rachel Bennett, a licensed Realtor and team manager based out of Austin, TX. Here’s the short answer: It depends where you live, but in many of the places where prices have gone up significantly, we’re not living through “a bubble” because the rise in prices is tied to economic activity, development, and low supply for high demand. With the way prices have shot up across the country, from Denver to Austin to Atlanta, it feels as though something is off, and that we’re due for a correction. Some people, on some level, may be hoping for a market crash or reset as a way for them to reenter the house-hunting process. ![]() Prices have gotten so high, so fast, that many prospective buyers are priced out of their dream home or neighborhood. People's questions around the possibility of a bubble aren't all based on concern, though. It’s the question on the minds of every homeowner, recent home buyer, and aspiring home buyer who has been losing bidding war after bidding war amid skyrocketing competition and rising prices throughout 20: Is there a housing bubble? Put another way, is the housing market going to crash soon, and should I be worried about that? ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |