Is this a bubble or a rebound?
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Housing Bubble
An economist from Trulia states that this is not a bubble- merely a rebound- Prices are 7% undervalued because the pendulum had swung back so far in the last downturn, A housing bubble is when prices soar above their fundamental value which is based on supply and demand. A bubble encourages speculation and further price increases.

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Prices up- rents down
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This is an article from Trulia. Does this sound familair? I also expressed my concern about the booming markets that don’t have great economics are are driven by hedge fund buying . I am hearing that rents are over done and the supply has gotten ahead of itself. I wonder if the hedge funds will stop their buying for while when they realize they can’t rent.

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