Are We Already Back in a Housing Bubble?

[caption id="" align="alignleft" width="630"] Businessweek[/caption]

The good news is that home prices are rising all across America. The bad news is that the market is showing signs that it will not be sustainable at the rate it's going. Homes are being overvalued, in large part in California, and the prices are being driven up. Investors that our buying houses with cash and flipping them are a major factor in this potential problem.

Interests rates have the possibility of rising as the economy comes back, and if that's coupled with rising prices it could cause a problem in the housing market. With the price of renting climbing at a slower rate than the price to buy a home now, in some markets renting may make more sense.

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POSTED November 13 2013 2:59 PM

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