Gobal house price bubble

[Guy_Montag]

http://www.economist.com/printedition/displayStory.cfm?Story_ID=4079458
http://www.businessweek.com/bwdaily/dnflash/jun2005/nf20050622_9404_db008.htm

Discuss.

I'm just in a bad mood because I can't afford to buy a house here in the UK after over a 100% rise in my area in the last 2 years.

[SoCalDem]

1. I feel your pain.. Boomer children are having a tough time

My son and his wife paid $435K two years ago for a 3 BR, small house that was built in the 50's. They had to put almost $50K into repairs before they moved in.. 10 years ago, and in a doifferent location, that house would have sold for 50k.. It was recently appraised for $600K.. Ridiculous:( (They live near SanFrancisco)

[Henny Penny]

2. Wow! Over 100% in two years...

We have our own bubble over here with annual increases of 20+% but if there is any kind of correction to house prices in your area, the impact will be huge.

I can see signs of a slow down here, with several properties near me that have been for sale for a while. This time last year, the sign would have gone up and come down very quickly.

[HuskiesHowls]

3. This may help to explain it??