Robert Schiller on macroecon. home prices

[Adam M.]

Robert Schiller, Yale econ. prof author of "Irrational Exuberance" wrote the follow piece in the NYT yesterday. Thought it was pretty interested. Doesn't appear to come to any conclusions simply explores some of the possible causes.

https://www.nytimes.com/2018/12/07/business/housin...

[Jay Hinrichs]

I think one point has to be that the % gain was coming off of an incredibly unrealistic low in 2010 when houses were selling for far less than replacement value in many many markets and even though making new highs in some markets there are still millions of homes being bought today ( especially the mid west deep south) for far less than it would cost to replace them..  this slows new construction in those markets.. 

Also land use regulation and red tape getting projects out of the ground is a huge issues say on the West coast were it can take years to get through permitting.. 

this is all regional to an extent.. and look rates fell last week.. when mortgage refi's and originations slow so much rates come back down in a supply demand model. ???