Real Estate Bubble?
I live in Houston,TX, where the real estate prices are just rising too quickly for me. I'm seeing an appreciation of 17%-18% in one of my property that was bought 5 months ago. While I like that my property appreciate, it worries me more that prices are rising during Covid-19 where millions have lost jobs.
I understand that prices are dictate by supply and demand, but I'm scratching my head as to where the demand is coming from when there are millions that are currently unemployed, and homeowners are asking for forbearance on their mortgages because they lost their jobs or have reduce pay, etc... so where in the world is this demand coming from?
Can't speak for other market, but I just have to wonder what's going to happen next year when government aids to homeowner and business owners run out, when forbearance is no longer acceptable by lender, etc...I know I know if everyone has a crystal ball we all would be millionaires.
Would love to get some input on this subject.