Rising Home Values Explained
Patrick Jones, executive director of the Institute for Public Policy & Economic Analysis at Eastern Washington University, discusses how the supply side can have greater effect as housing listings fall short of local demand.
"Prices reflect many forces, both demand and supply. The key drivers of housing demand are income, financing, and population. Incomes here have moved upward in the past few years, but at a rate not too far from historical rates. For sure, mortgage rates have plummeted, leading some homeowners to consider trading up and some renters to consider buying."
Read the entire Journal of Business article here.