Builders and developers are all asking how much more time is on the clock. After more than five years of increasing commercial and residential property plays, industry execs have to wonder when the party will be over. Don't worry about it, real estate prognosticators say. "Don't play scared," said economist Kevin Thorpe with Cushman & Wakefield. "The odds are still really good the expansion will continue at least the next couple of years. "The odds are really good the next recession won’t be nasty," Thorpe told real estate journalists meeting in Denver this week. The economy is enjoying what is shaping up to be the longest expansion since World War II, Thorpe told members of the National Association of Real Estate Editors.
The homebuilding market still has shortages, he said. "The home builders are just coming out of the bunker we are under producing housing," Arsenault said. While housing prices have exploded in many markets - including Dallas - industry analysts don't see another bubble. "We have seen a tremendous run up in home prices," said Brad Hunter with HomeAdvisor. "Home prices have been shooting up in most of the markets. "They are back up to levels they hit at the peak of the bubble," he said. "That does not mean we are in a bubble today." Hunter said demand, not speculation or loose lending has caused the home price expansion. And there aren't enough houses to go around.
- Dallas Morning News, June 15, 2017