Only 15 percent in Manhattan, the average price of up to 140,000 parking spaces in San Francisco can make affordable housing proportion of the middle class, these high prices the phenomenon of high land prices, to the United States intends to buy so many investors heart intended to retire They worry that the real estate bubble is close at hand. But in fact, most American buyers worry too much to worry about. The latest data showed the US real estate market since the beginning of the most robust period of 14 years.
Survey headquartered in Columbus, Ohio, the National Insurance Company showed that the housing market in the United States since 2001, is currently the best, there is no reason to worry about the national recession, but one said no such bubble burst more.
National chief economist Posen (DavidBerson) said that in the first published data, the leading indicator of the health of the real estate market in the country in the fourth quarter 2014 rose to 109.8, the data is greater than 100 indicates the healthy development of the industry. The index uses local data 373 driven real estate market statistics of the city. Including improvements employment, demographics and mortgage markets.
And in predicting market bubble level, national insurance company’s data is worth a view. The company had the bubble burst in 2005 that is made accurate signal, than in 2006 to reach a peak of the S & P / Case Shiller index should come early. The data show that the real estate market may not soared this year, which makes American life is more comfortable.
Posen said that, there are many market growth slower than people want, but this means that development is sustainable, and they are right, this is the universal truth. How to maintain the low growth rates, then it can not be accumulated in short supply and demand imbalance caused by the transition from bubble worries future, which in fact is the ideal real estate market.
Based on the above assumptions, the report shows, Pittsburgh, Cleveland and Philadelphia, the city is listed as the first health. The end is the capital of Bismarck, North Dakota. Although the majority of Bismarck local market booming thanks to good economic foundation. However, the situation and the slump in oil pillar industries in the sparsely populated region, where prices are making it difficult to rise further.
Currently, the only worry Posen condition that US house prices continue to rise sharply leaving the majority of people could not pay for the house. Since the economic expansion, rising wages stagnant US economy has become a thorn in, but the latest data show that the average salary increase has been achieved since the 2009 financial crisis storm gradually subsided.
And it is easy to see why the real estate market to stabilize, rather than soaring reason, it is because people do not have a substantial income and panoramic view. But Posen said the second half of 2014 due to a steady increase in the nation’s employment levels, pay levels will soon be gone, and is expected to drive prices continued to strengthen. This trend will continue into 2015 or, investors need not worry.