The latest entry in the Bubble Wars comes from Business Week, which, as you can see from the cover image at right, is already moving on. In addition to an alarmist headline, they've got fun games, like the completely indecipherable How Bubbly Is Your Housing Market? So bubbly. Of course, as the housing market crashes, prices continue to rise (see New York, NY), a point that Business Week acknowledges:
And in early 2005 the boom was in full swing. New-home sales surprised many economists by jumping 9.4% in February, to an annual rate of 1.2 million. And starts rose to a yearly pace of 2.2 million in the month, a level not seen consistently since housing's go-go 1970s. But hold on. Despite February's strong numbers, 2005 looks to be the year that housing finally cools off.Okay, we get it ? rates are going to continue to rise, housing starts are going to slow down, and some other bad stuff is likely to happen too. All of these leads Business Week to come to this conclusion: "On a national level, home prices aren't going to plunge -- they just won't rise very much." Well, holy shit. Sell! Sell! Sell!
· After the Housing Boom [Business Week]
· What's Your House Worth Now? [BW]
· How Bubbly Is Your Housing Market? [BW]
· Prices Still Rising? Yes, Oh Yes. [Curbed]