Real-estate bubble

Short description: Type of economic bubble

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A real-estate bubble or property bubble (or housing bubble for residential markets) is a type of economic bubble that occurs periodically in local or global real estate markets, and it typically follows a land boom or reduced interest rates.[1] A land boom is a rapid increase in the market price of real property, such as housing, until prices reach unsustainable levels and then decline. Market conditions during the run-up to a crash are sometimes characterized as "frothy." The questions of whether real estate bubbles can be identified and prevented, and whether they have broader macroeconomic significance, are answered differently by different schools of economic thought, as detailed below.[1]

Bubbles in housing markets have often been more severe than stock market bubbles. Historically, equity price busts occur on average every 13 years, last for 2.5 years, and result in about a 4 percent loss in GDP. Housing price busts are less frequent, but last nearly twice as long and lead to output losses that are twice as large (IMF World Economic Outlook, 2003). A 2012 laboratory experimental study[2] also shows that, compared to financial markets, real estate markets involve more extended boom and bust periods. Prices decline slower because the real estate market is less liquid.

The 2008 financial crisis was caused by the bursting of real estate bubbles that had begun in various countries during the 2000s.[3]

## Contents

* 1 Identification and prevention
* 2 Macroeconomic significance
* 3 Housing market indicators
* 3.1 Housing affordability measures
* 3.2 Housing debt measures
* 3.3 Housing ownership and rent measures
* 3.4 Housing price indices
* 4 List of real estate bubbles
* 4.1 From end of cold war to 2008 Great Recession
* 4.2 From 2008 Great Recession to now
* 4.2.1 US real estate bubble 2012–present
* 4.2.2 Eurozone real estate bubble COVID Pandemic
* 5 See also
* 6 References
* 7 Further reading

## Identification and prevention

US house price trend (1998–2008) as measured by the Case–Shiller index Ratio of Melbourne median house prices to Australian annual wages, 1965 to 2010

As with other economic bubbles, there is ongoing debate about the feasibility of identifying, predicting, and preventing real estate bubbles. Speculative bubbles are characterized by sustained and systematic deviations of asset prices from their fundamental values, often driven by investor behavior and market sentiment rather than underlying economic indicators.[4] Real estate bubbles are particularly challenging to detect in real-time due to the complex nature of property valuation and the influence of various local and global factors. While economists have developed models to estimate fundamental values—such as analyzing rental yields or comparing price-to-income ratios—accurately forecasting future bubbles remains a significant challenge.[1]

In real estate, fundamentals can be estimated from rental yields (where real estate is then considered in a similar vein to stocks and other financial assets) or based on a regression of actual prices on a set of demand and/or supply variables.[5][6]

American economist Robert Shiller of the Case–Shiller Home Price Index of home prices in 20 metro cities across the United States indicated on May 31, 2011 that a "Home Price Double Dip [is] Confirmed"[7] and British magazine The Economist, argue that housing market indicators can be used to identify real estate bubbles. Some[who?] argue further that governments and central banks can and should take action to prevent bubbles from forming, or to deflate existing bubbles.[8] Monetary reform could prevent central banks from setting interest rates too low.[9]

A land value tax (LVT) can be introduced to prevent speculation on land. Real estate bubbles direct savings towards rent seeking activities rather than other investments. A land value tax removes financial incentives to hold unused land solely for price appreciation, making more land available for productive uses.[10] At sufficiently high levels, land value tax would cause real estate prices to fall by removing land rents that would otherwise become 'capitalized' into the price of real estate. It also encourages landowners to sell or relinquish titles to locations they are not using, thus preventing speculators from hoarding unused land.

## Macroeconomic significance

Within some schools of heterodox economics, by contrast, real estate bubbles are considered of critical importance and a fundamental cause of financial crises and ensuing economic crises.

The pre-dominating economic perspective is that increases in housing prices result in little or no wealth effect, namely it does not affect the consumption behavior of households not looking to sell. The house price becoming compensation for the higher implicit rent costs for owning. Increasing house prices can have a negative effect on consumption through increased rent inflation and a higher propensity to save given expected rent increase.[11]

In some schools of heterodox economics, notably Austrian economics and Post-Keynesian economics, real estate bubbles are seen as an example of credit bubbles (pejoratively[12] speculative bubbles), because property owners generally use borrowed money to purchase property, in the form of mortgages. These are then argued to cause financial and hence economic crises. This is first argued empirically – numerous real estate bubbles have been followed by economic slumps, and it is argued that there is a cause-effect relationship between these.

The Post-Keynesian theory of debt deflation takes a demand-side view, arguing that property owners not only feel richer but borrow to (i) consume against the increased value of their property – by taking out a home equity line of credit, for instance; or (ii) speculate by buying property with borrowed money in the expectation that it will rise in value. When the bubble bursts, the value of the property decreases but not the level of debt. The burden of repaying or defaulting on the loan depresses aggregate demand, it is argued, and constitutes the proximate cause of the subsequent economic slump.

## Housing market indicators

UK house prices between 1975 and 2006, adjusted for inflation Robert Shiller's plot of U.S. home prices, population, building costs, and bond yields, from Irrational Exuberance, 2d ed. Shiller shows that inflation adjusted U.S. home prices increased 0.4% per year from 1890–2004, and 0.7% per year from 1940–2004, whereas U.S. census data from 1940–2004 shows that the self-assessed value increased 2% per year.

In attempting to identify bubbles before they burst, economists have developed a number of financial ratios and economic indicators that can be used to evaluate whether homes in a given area are fairly valued. By comparing current levels to previous levels that have proven unsustainable in the past (i.e. led to or at least accompanied crashes), one can make an educated guess as to whether a given real estate market is experiencing a bubble. Indicators describe two interwoven aspects of housing bubble: a valuation component and a debt (or leverage) component. The valuation component measures how expensive houses are relative to what most people can afford, and the debt component measures how indebted households become in buying them for home or profit (and also how much exposure the banks accumulate by lending for them). A basic summary of the progress of housing indicators for U.S. cities is provided by Business Week.[13] See also: real estate economics and real estate trends.

### Housing affordability measures

* The price to income ratio is the basic affordability measure for housing in a given area. It is generally the ratio of median house prices to median familial disposable incomes, expressed as a percentage or as years of income. It is sometimes compiled separately for first-time buyers and termed attainability. This ratio, applied to individuals, is a basic component of mortgage lending decisions.{{Citation needed|date=May 2011} lope calculation by Goldman Sachs, a comparison of median home prices to median household income suggests that U.S. housing in 2005 was overvalued by 10%. "However, this estimate is based on an average mortgage rate of about 6%, and we expect rates to rise", the firm's economics team wrote in a recent[when?] report.[14] According to Goldman's figures, a one-percentage-point rise in mortgage rates would reduce the fair value of home prices by 8%.[citation needed] * The deposit to income ratio is the minimum required downpayment for a typical mortgage , expressed in months or years of income. It is especially important for first-time buyers without existing home equity; if the down payment becomes too high then those buyers may find themselves "priced out" of the market. For example, as of 2004[update] this ratio was equal to one year of income in the UK.[15]
Another variant is what the United States's National Association of Realtors calls the "housing affordability index" in its publications.[16] (The soundness of the NAR's methodology was questioned by some analysts as it does not account for inflation.[17]).
* The affordability index measures the ratio of the actual monthly cost of the mortgage to take-home income. It is used more in the United Kingdom where nearly all mortgages are variable and pegged to bank lending rates. It offers a much more realistic measure of the ability of households to afford housing than the crude price to income ratio. However it is more difficult to calculate, and hence the price-to-income ratio is still more commonly used by pundits.[who?] In recent years,[when?] lending practices have relaxed, allowing greater multiples of income to be borrowed.
* The median multiple measures the ratio of the median house price to the median annual household income. This measure has historically hovered around a value of 3.0 or less, but in recent years[when?] has risen dramatically, especially in markets with severe public policy constraints on land and development.[18]

Inflation-adjusted home prices in Japan (1980–2005) compared to home price appreciation in the United States, Britain, and Australia (1995–2005)

### Housing debt measures

* The housing debt to income ratio or debt-service ratio is the ratio of mortgage payments to disposable income. When the ratio gets too high, households become increasingly dependent on rising property values to service their debt. A variant of this indicator measures total home ownership costs, including mortgage payments, utilities and property taxes, as a percentage of a typical household's monthly pre-tax income; for example see RBC Economics' reports for the Canadian markets.[19]
* The housing debt to equity ratio (not to be confused with the corporate debt to equity ratio), also called loan to value, is the ratio of the mortgage debt to the value of the underlying property; it measures financial leverage. This ratio increases when the homeowner takes a second mortgage or home equity loan using the accumulated equity as collateral. A ratio greater than 1 implies that owner's equity is negative.

### Housing ownership and rent measures

* Bubbles can be determined when an increase in housing prices is higher than the rise in rents. In the US, rent between 1984 and 2013 has risen steadily at about 3% per year, whereas between 1997 and 2002 housing prices rose 6% per year. Between 2011 and the third quarter of 2013, housing prices rose 5.83% and rent increased 2%.[20]
* The ownership ratio is the proportion of households who own their homes as opposed to renting. It tends to rise steadily with incomes. Also, governments often enact measures such as tax cuts or subsidized financing to encourage and facilitate home ownership.[21] If a rise in ownership is not supported by a rise in incomes, it can mean either that buyers are taking advantage of low interest rates (which must eventually rise again as the economy heats up) or that home loans are awarded more liberally, to borrowers with poor credit. Therefore, a high ownership ratio combined with an increased rate of subprime lending may signal higher debt levels associated with bubbles.
* The price-to-earnings ratio or P/E ratio is the common metric used to assess the relative valuation of equities. To compute the P/E ratio for the case of a rented house, divide the price of the house by its potential earnings or net income, which is the market annual rent of the house minus expenses, which include maintenance and property taxes. This formula is:

House P/E ratio=House priceRent−Expenses
The house price-to-earnings ratio provides a direct comparison with P/E ratios utilised to analyze other uses of the money tied up in a home. Compare this ratio to the simpler but less accurate price-rent ratio below.

* The price-rent ratio is the average cost of ownership divided by the received rent income (if buying to let) or the estimated rent (if buying to reside):

House Price-Rent ratio=House priceMonthly Rent×12
The latter is often measured using the "owner's equivalent rent" numbers published by the Bureau of Labor Statistics. It can be viewed as the real estate equivalent of stocks' price-earnings ratio; in other terms it measures how much the buyer is paying for each dollar of received rent income (or dollar saved from rent spending). Rents, just like corporate and personal incomes, are generally tied very closely to supply and demand fundamentals; one rarely sees an unsustainable "rent bubble" (or "income bubble" for that matter). Therefore a rapid increase of home prices combined with a flat renting market can signal the onset of a bubble. The U.S. price-rent ratio was 18% higher than its long-run average as of October 2004.[22]

* The gross rental yield, a measure used in the United Kingdom, is the total yearly gross rent divided by the house price and expressed as a percentage:

Gross Rental Yield=Monthly rent×12House price×100%
This is the reciprocal of the house price-rent ratio. The net rental yield deducts the landlord's expenses (and sometimes estimated rental voids) from the gross rent before doing the above calculation; this is the reciprocal of the house P/E ratio.
Because rents are received throughout the year rather than at its end, both the gross and net rental yields calculated by the above are somewhat less than the true rental yields obtained when taking into account the monthly nature of rental payments.

### Housing price indices

The Case–Shiller index 1890–2016, showing a housing bubble peaking in 2006

Measures of house price are also used in identifying housing bubbles; these are known as house price indices (HPIs).

A noted series of HPIs for the United States are the Case–Shiller indices, devised by American economists Karl Case, Robert J. Shiller, and Allan Weiss. As measured by the Case–Shiller index, the US experienced a housing bubble peaking in the second quarter of 2006 (2006 Q2).

## List of real estate bubbles

### From end of cold war to 2008 Great Recession

The crash of the Japanese asset price bubble from 1990 on has been very damaging to the Japanese economy.[23] The crash in 2005 affected Shanghai, China's largest city.[24]

As of 2007[update], real estate bubbles had existed in the recent past or were widely believed to still exist in many parts of the world.[25] including Argentina,[26] New Zealand, Ireland, Spain, Lebanon, Poland,[27] and Croatia.[28] Then U.S. Federal Reserve Chairman Alan Greenspan said in mid-2005 that "at a minimum, there's a little 'froth' (in the U.S. housing market) … it's hard not to see that there are a lot of local bubbles."[29] The Economist magazine, writing at the same time, went further, saying "the worldwide rise in house prices is the biggest bubble in history".[30]

In France, the economist Jacques Friggit publishes each year a study called "Evolution of the price, value and number of property sales in France since the 19th century",[31] showing a high price increase since 2001. Yet, the existence of a real estate bubble in France is discussed by economists.[32] Real estate bubbles are invariably followed by severe price decreases (also known as a house price crash) that can result in many owners holding mortgages that exceed the value of their homes.[33] 11.1 million residential properties, or 23.1% of all U.S. homes, were in negative equity at December 31, 2010.[34] Commercial property values remained around 35% below their mid-2007 peak in the United Kingdom. As a result, banks have become less willing to hold large amounts of property-backed debt, likely a key issue affecting the worldwide recovery in the short term.

By 2006, most areas of the world were thought to be in a bubble state, although this hypothesis, based upon the observation of similar patterns in real estate markets of a wide variety of countries,[35] was subject to controversy. Such patterns include those of overvaluation and, by extension, excessive borrowing based on those overvaluations.[36][37] The U.S. subprime mortgage crisis of 2007–2010, alongside its impacts and effects on economies in various nations, has implied that these trends might have some[which?] common characteristics.[25]

For individual countries, see:

* Baltic states housing bubble
* British property bubble
* Canadian property bubble
* Chinese property bubble – 2005–2011
* Danish property bubble – 2001–2006
* Irish property bubble – 1999–2006
* Japanese asset price bubble – 1986–1991
* Lebanese property bubble
* Polish property bubble – 2002–2008
* Romanian property bubble
* Spanish property bubble – 1985–2008, 2008-2014
* United States housing bubble – 1997–2006[38]

### From 2008 Great Recession to now

* Australian property bubble
* British property bubble
* Canadian property bubble
* New Zealand property bubble

#### US real estate bubble 2012–present

| Parts of this finance (those related to section) need to be updated. Please update this finance to reflect recent events or newly available information. (March 2020)

|

The Washington Post writer Lisa Sturtevant thinks that her audience will buy articles telling them that the housing market of 2013 was not indicative of a housing bubble. "A critical difference between the current market and the overheated market of the middle of last decade is the nature of the mortgage market. Stricter underwriting standards have limited the pool of potential homebuyers to those who are most qualified and most likely to be able to pay loans back. The demand this time is based more closely on market fundamentals. And the price growth we’ve experienced recently is 'real.' Or 'more real.'"[39] Other recent research indicates that mid-level managers in securitized finance did not exhibit awareness of problems in overall housing markets.[40]

Economist David Stockman believes that a second housing bubble was started in 2012 and still inflating as of February 2013.[41] Housing inventory began to dwindle starting in early 2012 as hedge fund investors and private equity firms purchase single-family homes in hopes of renting them out while waiting for a housing rebound.[42][43] Due to the policies of QE3, mortgage interest rates have been hovering at an all-time low, causing real estate values to rise. Home prices have risen unnaturally as much as 25% within one year in metropolitan areas like the San Francisco Bay Area and Las Vegas.[44]

After the COVID-19 pandemic, the U.S. housing market saw a significant rise in home prices,[45] driven by a severe supply-demand imbalance. The pandemic disrupted supply chains and slowed housing construction, leading to a shortage of available homes. This shortage, coupled with increased borrowing costs due to the Federal Reserve's interest rate hikes, contributed to the soaring prices. Experts note that the current price increases are based on market fundamentals rather than speculative behavior, highlighting the ongoing issue of housing affordability.[46]

#### Eurozone real estate bubble COVID Pandemic

House prices in the Eurozone increased dramatically during the COVID pandemic.[47]

As an example, in Prague, a person would need 17.3 years of salary to buy a 70 sqm flat.[48]

## See also

* Deed in lieu of foreclosure
* Estate (land)
* Foreclosure consultant
* Jeonse
* Real estate appraisal
* Real estate economics
* Real estate pricing
* Real estate
* Real estate business
* 2008–2014 Spanish real estate crisis

## References

1. ↑ 1.0 1.1 1.2 Mayer, Christopher (September 2011). "Housing Bubbles: A Survey" (in en). Annual Review of Economics 3 (1): 559–577. doi:10.1146/annurev.economics.012809.103822. ISSN 1941-1383. http://www.annualreviews.org/doi/10.1146/annurev.economics.012809.103822.
2. ↑ Ikromov, Nuridding and Abdullah Yavas, 2012a, "Asset Characteristics and Boom and Bust Periods: An Experimental Study". Real Estate Economics. 40, 508–535.
3. ↑ Klein, Ezra (May 28, 2009). "Bill Clinton and the Housing Bubble". Washington Post. http://voices.washingtonpost.com/ezra-klein/2009/05/bill_clinton_and_the_housing_b.html.
4. ↑ Brooks, Chris; Katsaris, Apostolos (2005). "Trading rules from forecasting the collapse of speculative bubbles for the S&P 500 composite index". The Journal of Business 78 (5): 2003–2036. doi:10.1086/431450. ISSN 0740-9168. http://centaur.reading.ac.uk/20553/1/20553.pdf.
5. ↑ Nneji, Ogonna; Brooks, Chris; Ward, Charles (2013). "Intrinsic and rational speculative bubbles in the U.S. housing market 1960-2011". Journal of Real Estate Research 35 (2): 121–151. doi:10.1080/10835547.2013.12091360. ISSN 0896-5803.
6. ↑ Nneji, Ogonna; Brooks, Chris; Ward, Charles W.R. (2013). "House price dynamics and their reaction to macroeconomic changes". Economic Modelling 32: 172–178. doi:10.1016/j.econmod.2013.02.007. ISSN 0264-9993. http://centaur.reading.ac.uk/31493/1/31493.pdf.
7. ↑ Christie, Les (May 31, 2011). "Home prices: 'Double-dip' confirmed". CNN Money. https://money.cnn.com/2011/05/31/real_estate/march_home_prices/index.htm.
8. ↑ "Housing markets face a brutal squeeze". The Economist. ISSN 0013-0613. https://www.economist.com/finance-and-economics/2022/10/20/housing-markets-face-a-brutal-squeeze.
9. ↑ Turner, John D. (2014-07-10) (in en). Banking in Crisis: The Rise and Fall of British Banking Stability, 1800 to the Present. Cambridge University Press. ISBN 978-1-139-99233-6. https://www.google.com/books/edition/Banking_in_Crisis/roXXAwAAQBAJ?hl=en&gbpv=1&dq="monetary+reform"+"housing+bubble"&pg=PA219&printsec=frontcover.
10. ↑ Wetzel, Dave (20 September 2004). "The case for taxing land". New Statesman. https://www.newstatesman.com/node/195119. Retrieved 13 June 2008.
11. ↑ Nocera, Andrea (June 2017). "House prices and monetary polic in the Euro area: a structural VAR analysis". European Central Bank - Working Papers (2073). https://www.ecb.europa.eu/pub/pdf/scpwps/ecb.wp2073.en.pdf?de4bae93c421073e4847f913a4cb6352.
12. ↑ "Speculative Bubble: What it is, How it Works". https://www.investopedia.com/terms/s/speculativebubble.asp.
13. ↑ "Interactive Table: How Bubbly Is Your Housing Market?". Business Week. April 11, 2005. http://bwnt.businessweek.com/housing_boom/index.asp. Retrieved June 23, 2009.
14. ↑ "seek.estate". https://seek.estate/articles/daily-financial-market-comment-31404-goldman-sachs-economics/.
15. ↑ "Home - SecurityNational Mortgage Company". snmcblog.com. http://www.snmcblog.com.
16. ↑ "Affordable Housing Real Estate Resource: Housing Affordability Index". National Association of Realtors. http://www.realtor.org/research/research/housinginx.
17. ↑ "seek.estate". https://seek.estate/articles/housing-affordability-index-case-economic-malpractice/.
18. ↑ "10th Annual Demographia International Housing Affordability Survey: 2014". http://www.demographia.com/dhi.pdf.
19. ↑ "June 2, 2005 report". https://seek.estate/articles/housing-affordability-erodes-slightly-regions-country-says-rbc-economics-2005/.
20. ↑ Wallison, Peter J (January 5, 2014), "The Bubble is Back", The New York Times (New York): p. A15, https://www.nytimes.com/2014/01/06/opinion/the-bubble-is-back.html?ref=opinion, retrieved April 14, 2014
21. ↑ (in en) Us Residential Real Estate Investment & Business Guide for Foreigners. Lulu.com. 2006-01-01. ISBN 978-0-73-976778-8. https://books.google.com/books?id=qF0qAwAAQBAJ&dq=The+ownership+ratio+is+the+proportion+of+households+who+own+their+homes+as+opposed+to+renting.+It+tends+to+rise+steadily+with+incomes.+Also,+governments+often+enact+measures+such+as+tax+cuts+or+subsidized+financing+to+encourage+and+facilitate+home+ownership.&pg=PA9.
22. ↑ Krainer, John; Wei, Chishen (October 1, 2004). "House Prices and Fundamental Value". Federal Reserve Bank of San Francisco. http://www.frbsf.org/publications/economics/letter/2004/el2004-27.html.
23. ↑ Fackler, Martin (December 25, 2005). "Take It From Japan: Bubbles Hurt". New York Times. https://www.nytimes.com/2005/12/25/business/yourmoney/25japan.html?pagewanted=all.
24. ↑ Lee, Don (January 8, 2006). "A Home Boom Busts". Los Angeles Times. https://www.latimes.com/archives/la-xpm-2006-jan-08-fi-chinabubble8-story.html.
25. ↑ 25.0 25.1 Putland, Gavin R. (June 1, 2009). "From the subprime to the terrigenous: Recession begins at home". Land Values Research Group. http://lvrg.org.au/blog/2009/06/from-subprime-to-terrigenous-recession.html.
26. ↑ "The good times are here again". Global Property Guide. February 28, 2008. http://www.globalpropertyguide.com/Latin-America/Argentina/Price-History.
27. ↑ "The end of Poland's house price boom". Global Property Guide. August 25, 2008. http://www.globalpropertyguide.com/Europe/Poland/Price-History.
28. ↑ "Real estate prices in Adriatic Coast up, Zagreb down". Global Property Guide. August 19, 2008. http://www.globalpropertyguide.com/Europe/Croatia/Price-History.
29. ↑ Leonhardt, David (December 25, 2005). "2005: In a Word: Frothy". New York Times. https://www.nytimes.com/2005/12/25/weekinreview/25track.ready.html?pagewanted=all.
30. ↑ "The global housing boom". The Economist. June 16, 2005. http://www.economist.com/opinion/displaystory.cfm?story_id=4079027.
31. ↑ "The French housing market and its environment since 1800". Conseil Général de l'Environnement et du Développement Durable. http://www.cgedd.developpement-durable.gouv.fr/house-prices-in-france-property-price-index-french-a1117.html.
32. ↑ "Bulle immobilière : de quoi parle-t-on et que faut-il craindre ?". Ideal-investisseur. https://www.ideal-investisseur.fr/economie/bulle-immobiliere-signification-que-faut-il-craindre-6903.html.
33. ↑ Kellington, Tom (2021-05-25). "What happens when real estate bubbles pop?" (in en-US). https://thebusinessdaily.org/2021/05/25/what-happens-when-real-estate-bubbles-pop/.
34. ↑ Philyaw, Jason (8 March 2011). "Underwater mortgages back above 11 million in 4Q". CoreLogic. http://www.housingwire.com/articles/corelogic-underwater-mortgages-back-above-11-million-4q.
35. ↑ Guide, Global Property. "House Prices Worldwide". Global Property Guide. http://www.globalpropertyguide.com/real-estate-house-prices/A.
36. ↑ "Headlines in the financial press ranged from “Property slowdown fuels China fears” to “China property correction would be painful, but salutary” (Financial Times, 2014e, p. 3). Housing demand has been increasing due to higher incomes, rapid urbanization and China’s rural urban migration strategy"
37. ↑ "The ups and downs of the real estate market and its relations with the rest of the economy in China". Real Estate, Construction and Economic Development in Emerging Market Economies. 2015. pp. 108–124. doi:10.4324/9781315762289-13. ISBN 9781315762289. https://www.taylorfrancis.com/books/e/9781317647843/chapters/10.4324/9781315762289-13.
38. ↑ Bajaj, Vikas; Leonhardt, David (December 18, 2008). "Tax Break May Have Helped Cause Housing Bubble". The New York Times. https://archive.nytimes.com/www.nytimes.com/2008/12/19/business/19tax.html.
39. ↑ Sturtevant, Lisa A. (March 26, 2013). "Is the Washington, D.C.-area housing market bubbling again?". The Washington Post. https://www.washingtonpost.com/blogs/where-we-live/post/is-the-washington-dc-area-housing-market-bubbling-again/2013/03/25/1f73a2fa-9588-11e2-ae32-9ef60436f5c1_blog.html.
40. ↑ Wall Street and the Housing Bubble, Princeton University, September 2013
41. ↑ "This is Housing Bubble 2.0: David Stockman". Yahoo Finance. February 4, 2013. https://finance.yahoo.com/blogs/daily-ticker/housing-bubble-2-0-david-stockman-133026817.html.
42. ↑ StreetAuthority (January 15, 2013). "Why Blackstone Bought 16,000 Homes". SeekingAlpha.com. http://seekingalpha.com/article/1113381-why-blackstone-bought-16-000-homes.
43. ↑ "Immobilier au Sénégal". https://www.loger-dakar.com/.
44. ↑ "Comeback for California Housing Prices". NBCLosAngeles.com. January 29, 2013. http://www.nbclosangeles.com/news/local/Comeback-for-California-Housing-Prices-Case-Shiller-188849011.html.
45. ↑ Beck, Rae Hartley (2023-08-23). "How Did COVID-19 Affect The Housing Market?" (in en-US). https://www.bankrate.com/real-estate/covid-impact-on-the-housing-market/.
46. ↑ "Home prices are soaring. Is this another bubble?" (in en). https://abcnews.go.com/Business/home-prices-soaring-bubble/story?id=110101842.
47. ↑ Battistini, Niccolò; Falagiarda, Matteo; Gareis, Johannes; Hackmann, Angelina; Roma, Moreno (November 9, 2021). "The euro area housing market during the COVID-19 pandemic". https://www.ecb.europa.eu/pub/economic-bulletin/articles/2021/html/ecb.ebart202107_03~36493e7b67.en.html.
48. ↑ "Dostupnost bydlení se opět zhoršila. Na nový byt v Praze je potřeba už 17,3 ročních mezd" (in cs). 14 Jun 2022. https://www.central-group.cz/page/tiskova-zprava-20220614.

## Further reading

* John Calverley (2004), Bubbles and how to survive them, N. Brealey. ISBN 1-85788-348-9
* Robert J. Shiller (2005). Irrational Exuberance, 2d ed. Princeton University Press. ISBN 0-691-12335-7.
* John R. Talbott (2003). The Coming Crash in the Housing Market, New York: McGraw-Hill, Inc. ISBN 0-07-142220-X.
* Andrew Tobias (2005). The Only Investment Guide You'll Ever Need (updated ed.), Harcourt Brace and Company. ISBN 0-15-602963-4.
* Eric Tyson (2003). Personal Finance for Dummies, 4th ed., Foster City, CA: IDG Books. ISBN 0-7645-2590-5.
* Burton G. Malkiel (2003). The Random Walk Guide to Investing: Ten Rules for Financial Success, New York: W. W. Norton and Company, Inc. ISBN 0-393-05854-9.
* Elizabeth Warren and Amelia Warren Tyagi (2003). The Two-Income Trap: Why Middle-Class Mothers and Fathers Are Going Broke, New York: Basic Books. ISBN 0-465-09082-6.

* v
* t
* e

Financial bubbles

* Commodity booms
* Credit cycle
* Diamond rush
* Gold rush
* Irrational exuberance
* Oil boom
* Real estate bubble
* Stock market bubble

1000–1760|

* Tulip mania (1634–1637)
* Mississippi bubble (1684–1720)
* Brazilian Gold Rush (c. 1690–1760)
* South Sea bubble (1711–1720)

1760–1840|

* Brazilian Gold Rush (1760–1840)
* Canal Mania (c. 1790–c. 1810)
* Carolina Gold Rush (1802–1825)
* 1810s Alabama real estate bubble
* Georgia Gold Rush (1828–c. 1840)
* 1830s Chicago real estate bubble
* Chilean silver rush (1830–1840)

1840–1870|

* Chilean silver rush (1840–1850)
* Railway Mania (c. 1840–c. 1850)
* Brazilian Gold Rush (1840–1870)
* California Gold Rush (1848–1855)
* Queen Charlottes Gold Rush (1851)
* Victorian gold rush (1851–c. 1870)
* New South Wales gold rush (1851–1880)
* Australian gold rushes (1851–1914)
* Fraser Canyon Gold Rush (1858)
* Pike's Peak Gold Rush (1858–1861)
* Rock Creek Gold Rush (1859)
* Pennsylvania oil rush (1859–1891)
* Similkameen Gold Rush (1860)
* Stikine Gold Rush (1861)
* Colorado River mining boom (1861–1864)
* Otago Gold Rush (1861–1864)
* Cariboo Gold Rush (1861–1867)
* First Nova Scotia Gold Rush (1861–1874)
* Wild Horse Creek Gold Rush (1864–1865)
* Leechtown Gold Rush (1864–1865)
* West Coast Gold Rush (1864–1867)
* Big Bend Gold Rush (c. 1865)
* Vermilion Lake Gold Rush (1865–1867)
* Kildonan Gold Rush (1869)
* Omineca Gold Rush (1869)

1870–1914|

* 1870s Lapland gold rush
* Coromandel Gold Rushes (c. 1870–c. 1890)
* Cassiar Gold Rush (c. 1870–c. 1890)
* Brazilian Gold Rush (1870–c. 1900)
* Black Hills Gold Rush (1874–1880)
* Colorado Silver Boom (1879–1893)
* Western Australian gold rushes (c. 1880–c. 1900)
* Indiana gas boom (c. 1880–1903)
* Ohio oil rush (c. 1880–c. 1930)
* Tierra del Fuego gold rush (1883–1906)
* Cayoosh Gold Rush (1884)
* Witwatersrand Gold Rush (1886)
* Encilhamento (1886–1890)
* Cripple Creek Gold Rush (c. 1890–c. 1910)
* Klondike Gold Rush (1896–1899)
* Second Nova Scotia Gold Rush (1896–1903)
* Kobuk River Stampede (1897–1899)
* Mount Baker Gold Rush (1897–c. 1925)
* Nome Gold Rush (1899–1909)
* Fairbanks Gold Rush (c. 1900–1918)
* Texas oil boom (1901–1918)
* Cobalt silver rush (1903–1918)
* Porcupine Gold Rush (1909–1918)

1918–1939|

* 1920s Florida land boom (c. 1920–1925)
* Fairbanks Gold Rush (1918–c. 1930)
* Texas oil boom (1918–1945)
* Cobalt silver rush (1918–c. 1930)
* Porcupine Gold Rush (1918–1945)
* 1930s Kakamega gold rush
* Third Nova Scotia Gold Rush (1932–1942)

1945–1973|

* Texas oil boom (1945–c. 1950)
* Porcupine Gold Rush (1945–c. 1960)
* Poseidon bubble (1969–1970)

1973–1982|

* Mexican oil boom (1977–1981)
* Silver Thursday (1980)
* New Zealand property bubble (c. 1980–1982)

1982–2007|

* 1980s oil glut
* New Zealand property bubble (1982–)
* Spanish property bubble (1985–2008)
* Japanese asset price bubble (1986–1990)
* Dot-com bubble (1995–2000)
* Baltic states housing bubble (2000–2006)
* Irish property bubble (c. 2000–2007)
* 2000s commodities boom (2000–2008)
* 2000s Danish property bubble (2001–2006)
* Indian property bubble (2001–2007)
* United States housing bubble (2002–2006)
* Romanian property bubble (2002–2007)
* Polish property bubble (2002–2008)
* Canadian property bubble (2003–2008)
* Chinese property bubble (2005–11)
* Lebanese housing bubble (2005–2008)
* Bulgarian property bubble (2006–2008)
* North Dakota oil boom (2006–2008)
* Chinese stock bubble of 2007
* Uranium bubble of 2007

Post–2008|

* North Dakota oil boom (2008–2012)
* 2000s commodities boom (2008–2014)
* Canadian property bubble (2008–2019)
* Lebanese housing bubble (2008–)
* Australian property bubble (2010–)
* Cryptocurrency bubble (2011–)

* AI winter
* Carbon bubble
* Chaotic bubble
* The Green Bubble
* Social media bubble
* Unicorn bubble
* U.S. higher education bubble

* v
* t
* e

Real estate

* Property
* Tertiary sector of the economy

By location|

* Bangladesh
* China
* Italy
* Kenya
* Pakistan
* Puerto Rico
* Russia
* South Korea
* United Kingdom

Types|

* Commercial property
* Commercial building
* Corporate Real Estate
* Extraterrestrial real estate
* International real estate
* Lease administration
* Niche real estate
* Garden real estate
* Healthcare real estate
* Vacation property
* Arable land
* Golf property
* Luxury real estate
* Off-plan property
* Private equity real estate
* Real estate owned
* Residential property

Sectors|

* Property management
* Real estate development
* Real estate investing
* Real estate flipping
* Relocation

Law and regulation|

* Adverse possession
* Chain of title
* Closing
* Concurrent estate
* Conditional sale
* Conveyancing
* Deed
* Eminent domain
* Encumbrance
* Foreclosure
* Land law
* Land registration
* Leasehold estate
* Lease
* Property abstract
* Real estate transaction
* Real estate contract
* Real property
* Rent regulation
* Severance
* Torrens title
* Zoning

Economics, financing
and valuation|

* Asset-based lending
* Capitalization rate
* Effective gross income
* Gross Rent Multiplier
* Hard money loan
* Highest and best use
* Investment rating for real estate
* Mortgage insurance
* Mortgage loan
* Real estate derivative
* Real estate economics
* Real estate bubble
* Real estate valuation
* Rental value

Parties|

* Appraiser
* Buyer agent
* Buyer broker
* Chartered Surveyor
* Exclusive buyer agent
* Land banking
* Landlord
* Moving company
* Property manager
* Real estate broker
* Real estate entrepreneur
* Real estate investment club
* Real estate investment trust
* Real property administrator

Other|

* Companies
* Eviction
* Gentrification
* Graduate real estate education
* Green belt
* Indices
* Industry trade groups
* Land banking
* People
* Property cycle
* Real estate trends
* Undergraduate real estate programs
* Urban decay
* Urban planning

* Category
* Commons
* List of topics

* v
* t
* e

Construction

Types|

* Home construction
* Offshore construction
* Underground construction
* Tunnel construction

History|

* Architecture
* Construction
* Structural engineering
* Timeline of architecture
* Water supply and sanitation

Professions|

* Architect
* Building engineer
* Building estimator
* Building officials
* Chartered Building Surveyor
* Civil engineer
* Civil estimator
* Clerk of works
* Project manager
* Quantity surveyor
* Site manager
* Structural engineer
* Superintendent

Trades workers|

* List
* Banksman
* Bricklayer
* Carpenter
* Concrete finisher
* Construction foreman
* Construction worker
* Electrician
* Glazier
* Ironworker
* Millwright
* Plasterer
* Plumber
* Roofer
* Steel fixer
* Welder

Organizations|

* American Institute of Constructors
* American Society of Civil Engineers
* Asbestos Testing and Consultancy Association
* Associated General Contractors of America
* Association of Plumbing and Heating Contractors
* Build UK
* Construction History Society
* Chartered Institute of Plumbing and Heating Engineering
* Civil Engineering Contractors Association
* The Concrete Society
* Construction Management Association of America
* Construction Specifications Institute
* FIDIC
* Home Builders Federation
* Lighting Association
* National Association of Home Builders
* National Association of Women in Construction
* National Kitchen & Bath Association
* National Railroad Construction and Maintenance Association
* National Tile Contractors Association
* Railway Tie Association
* Royal Institution of Chartered Surveyors
* Scottish Building Federation
* Society of Construction Arbitrators

By country|

* India
* Iran
* Japan
* Romania
* United Kingdom

Regulation|

* Building code
* Construction law
* Site safety
* Zoning

Architecture|

* Industrial architecture
* Interior architecture
* Landscape architecture
* Vernacular architecture

Engineering|

* Architectural engineering
* Building services engineering
* Civil engineering
* Coastal engineering
* Construction engineering
* Structural engineering
* Earthquake engineering
* Environmental engineering
* Geotechnical engineering

Methods|

* List
* Earthbag construction
* Monocrete construction
* Slip forming

Other topics|

* Building material
* List of building materials
* Construction bidding
* Construction delay
* Construction equipment theft
* Construction loan
* Construction management
* Construction waste
* Demolition
* Design–build
* Design–bid–build
* Heavy equipment
* Interior design
* Megaproject
* Megastructure
* Real estate development
* Sustainability in construction
* Urban design
* Urban planning

Outline Category

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Original source: https://en.wikipedia.org/wiki/Real-estate bubble. Read more

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