There Is No Real Estate Housing Bubble
NAR president Thomas M. Stevens let it be known recently that "there is no housing bubble". According to Stevens the problem is not a housing bubble, but that home prices and mortgage debt servicing cost-to-income ratios increase to unhealthy levels in some housing markets, which in turn precipitates an adjustment.
Las Vegas is a perfect example of this situation. With the price increase of new homes and condos there was an increase in supply, however the demand for homes did not equal supply causing a so called "bubble" to occur.
