Audio – Pop! Uh-oh.
A couple of years ago, that sound was ricocheting throughout the real estate market. And quite a pop it’s been.
All week, guests at the Reuters Housing Summit have discussed the bursting of the real estate bubble, including Robert Shiller, professor of economics at Yale University and chief economist for MacroMarkets LLC
Shiller said on Thursday that while the recent state of the housing sector was, in fact, just as gloomy as it looked, this is not a unique event in American history.
He pointed to a number of other occurrences of falling housing prices, but he also noted that the current corresponding credit crisis makes this fall seem all the worse.
Shiller was one of the featured guests at this year’s summit — held in New York, Washington, D.C. and London. The summit continues through Friday and is followed by next week’s Reuters Manufacturing Summit, held in Chicago.