The long-awaited housing price rebound is arriving. After eight years, more and more real estate markets are reaching or exceeding the prices they achieved at the peak of the housing boom in 2007. How long will it be until the recovery is complete?
The holiday season and early winter storms did little to affect top markets, as the number of top 100 markets to reach or surpass their peak prices at the height of the boom in 2007 increased to 29 markets.
California housing markets, which have dominated the home price gain charts year-over-year, are losing steam to southern markets as those areas benefit from a new supply of jobs and stable local economies.
For many observers, “skin in the game” is synonymous with a large down payment that limits lender or investor risk. However, skin in the game can be defined much more broadly, since financial investment is only one factor that mitigates risk.
The Silicon Valley area added 385,000 jobs between 2010 and 2015, but only issued building permits for 58,000 units in that same time frame, creating an unsustainable housing marker that shuts out all but the richest buyers. What, if anything, can be done to cool off skyrocketing home prices?