CityLab staffer Kriston Capps looks at whether the nation is falling into another housing crisis.
There are disturbing signs that point to an emerging housing bubble, but in other ways the boom doesn't match what we saw in the mid-2000s, he reports.
While a bubble brought on the Great Recession, the current housing boom may not be a prelude to another bubble. At least, not yet.
That’s the conclusion of a new paper released this month from the Federal Reserve Bank of San Francisco. The current housing boom—starting after the market hit rock bottom in November 2011—has already undone a good deal of the damage in at least two respects. The median housing price today is just 8% shy of its peak in 2006, and construction employment is 17% below the high-water mark.