Noallegiance Posted February 5, 2017 Share Posted February 5, 2017 7 minutes ago, Futuroid said: Outside of SF it Isn't even beating the 2006 highs yet! The DJI is 80% up on 2006. How many hundreds of billions have the printed since 2006? With the right (ahem) stimulus package, US house prices could probably rise 50%-100% from here. This is not financial advice. Saying they could rise further doesn't mean it isn't already in bubble territory. Quote Link to comment Share on other sites More sharing options...
Futuroid Posted February 5, 2017 Share Posted February 5, 2017 16 minutes ago, Noallegiance said: Saying they could rise further doesn't mean it isn't already in bubble territory. True, but a bubble suggests they are unsustainably high. Since they aren't (in most areas) even at the level of a decade before, calling it a bubble is a bit of stretch. An anecdote FWIW - I know someone who sold up in California in 2006, moving to Texas for work. They moved back to California the same street into a similar house (this is inbetween SF and LA) and paid 70% of the 2006 price. And the property market in California is booming comparatively. Trumps number 1 job will be to make people Republicans feel good about the economy - that means job creation (he's trying to do that by bringing jobs home) and more money in their bank account - he's doing that by undoing Obamacare. The icing on the cake will be lower taxes / refunds (closing down EPA, etc). Soaring house prices have proven to be a middle class vote winner time and time again... Quote Link to comment Share on other sites More sharing options...
spyguy Posted February 5, 2017 Share Posted February 5, 2017 1 hour ago, Futuroid said: True, but a bubble suggests they are unsustainably high. Since they aren't (in most areas) even at the level of a decade before, calling it a bubble is a bit of stretch. An anecdote FWIW - I know someone who sold up in California in 2006, moving to Texas for work. They moved back to California the same street into a similar house (this is inbetween SF and LA) and paid 70% of the 2006 price. And the property market in California is booming comparatively. Trumps number 1 job will be to make people Republicans feel good about the economy - that means job creation (he's trying to do that by bringing jobs home) and more money in their bank account - he's doing that by undoing Obamacare. The icing on the cake will be lower taxes / refunds (closing down EPA, etc). Soaring house prices have proven to be a middle class vote winner time and time again... Cart before horse. Well paying jobs are the vote winner. Rising house prices and no wage inflation is a vote looser. Quote Link to comment Share on other sites More sharing options...
Noallegiance Posted February 5, 2017 Share Posted February 5, 2017 3 hours ago, Futuroid said: True, but a bubble suggests they are unsustainably high. They are unsustainably high, unless all manner of trickery is employed to keep prices within bubble territory and to convince people a bubble isn't a bubble. Trickery has sustained this bubble. It's why even EAs can't believe current price levels are still going. By logical measures this baby should have popped more severely in 2008. Lipstick on a pig etc. Quote Link to comment Share on other sites More sharing options...
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