Supply and Demand

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SUPPLY and DEMAND… it’s arguably the most important topic to consider when debating the potential of a future housing bubble.  The chart below (courtesy of MBS Highway) is one of several indicators that a national housing bubble is likely not imminent.

Supply and demand significantly impact the potential of a U.S. Housing Bubble.  Here is a chart that shows unlike 2006-2009, we have trended toward greater demand for housing than supply.  A bubble is less likely to occur if demand greatly exceeds supply.