Another Housing Bubble? “Maybe Not in Our Lifetimes”: Robert Shiller
Single-family home prices rose in August, posting their strongest annual gain in more than seven years, according to the S&P/Case Shiller Home Price Index data released Tuesday.
And while Case Shiller data shows home prices have risen 12.8% over last year, data shows the pace of home value appreciation has slowed quarter to quarter this year.
[Click here to check home loan rates in your area.]
So how is the the co-founder of the S&P Case/Shiller Home Price Index (also a 2013 Nobel Prize-Winner in economic sciences) thinking about home prices, and is he worried about another housing bubble?
Related: Why the Threat of Recession Keeps Robert Shiller Up at Night
In an interview with The Daily Ticker, Shiller says home prices on a national basis are reasonable and he is not too worried about bubbles right now.
“We just went through the biggest bubble in U.S. history, so I wouldn’t expect that to repeat...maybe not in our lifetimes,” he tells us in the video above.
One reason he cites is homeowner expectations. According to Shiller, in the short-term, homeowners expect price gains of 8%, but over the long-term, homeowners are only expecting 4%, "which is reasonable," he says.
Related: How the Job Market is Killing Housing
Check out the video to see more of what data he is looking at that indicates to him we are not in bubble territory, but why he’s still not sure about prognosticating the future of housing.
Related: Housing Market Is Cooling And That's Great News
Tell Us What You Think!
Send an email to: thedailyticker@yahoo.com.
You can also look us up on Twitter and Facebook.
More from The Daily Ticker
Fannie and Freddie Were 'Helpless Victims' of the Big Banks? Really!?!
One Man Is Putting the U.S. Economy & Markets At Risk, Says David Kotok