What Makes A Bubble?

Mortgage and unemployment rates do not have to go to 8% for the bubble to burst.

Snip…

“The bubble exists because of speculators. Pent up demand and lack of supply is not the cause, otherwise the rental market wouldn't be so depressed. Current supply is in fact outstripping population growth. The excessive demand is produced by speculators. Since this doesn't satisfy the demands of housing anyone, the demand is totally artificial, thus creating totally artificial prices.”

Continue...