here in western ny home prices really havent done much of anything through the entire boom when you adjust for inflation. I imagine much of the country is like this actual % property wise. i think when you look at the real estate market $ as a whole its deceptive because the hot markets were so hot and also have a denser population so its made the national averages look out of wack. There is no bubble here, i doubt there is a bubble in Iowa. The hot markets still need to mean revert far more though IMO and get back in line closer to what most property in the country costs. I mean what does a million still get you in San Diego? It buys a small mansion here. http://property.buffaloniagarahomes.com/property/detail.cfm?mlnum=273269&property_type=1
That's not true. On a % basis, some of the biggest run-ups in pricing have been in interior markets like Missouri (St. Louis area), where housing price increases the past several years outpaced wage growth by a factor of literally 10 to 1. That's why Shiller, in compiling his data, is adamant that this is the biggest bubble of any asset class in the history of the world.
Can't get much where I live for a mill.. maybe a 3 bd 2 ba, 1800 sqft... http://cbsocal.com/property/propert...ropSearch=0&CountyIDList=207&MinBath=0&page=2