Industry News

Real estate bubble debate still on

Group to host bubble discussion next week

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"Are we in a real estate bubble?" is a question that's been lingering over the industry for the last few years. A New York-based public policy organization will host a discussion of a potential housing bubble at The Demos Forum on Feb. 8.   Speakers include Dean Baker, co-director at the Center for Economic and Policy Research, Barbara Corcoran, founder and chairwoman of the Corcoran Group in New York, and Jonathan McCarthy, senior economist at the Federal Reserve Bank of New York.   Over the last five years, real estate prices have risen by 45 percent across the nation, causing concern for some experts who believe it may be a sign of a housing bubble. Housing prices have risen by 94 percent in California, 70 percent in New York and 97 percent in Washington, D.C.   Despite mounting evidence of an inflated market, Federal Reserve Board Chariman Alan Greenspan stated in October 2004 that "fears of a speculative bubble in housing prices were exaggerated."   "The Demo...