Whoever came up with that moniker was either extremely witty or bordering on the sarcasm front! I picture bubbles with houses in them, popping and falling on the ground, causing mayhem and havoc everywhere. Which it did! The problem now is, it seems every chance that’s given someone has a theory, usually siding with negative Nancy and ultimately trying to scare you from buying a home. It wasn’t the homes that caused the problems, it was the lenders and appraisers at that time following the guide lines that were given to them by the powers that be. They created the “mirror under the nose” test, if you were breathing, you could qualify for a loan. They did this so they could make as many loans as possible and make a ton of money! Well it worked for them but not for us. We are much smarter now AND have the gift of hindsight. Now we can see how it happened and how not to get involved in it again. Yes, the housing market is rising in Reno, but the values are still not as high as just before the Joly Green Giant pulled out his needle and popped all of our bubbles. Reno’s typical market has a minimum of a 3% equity growth in the housing prices per year. We are still one of the top 10 places to live in the country, still have people who love it here and furthermore who want to buy, trade up or move here to be one of us. That’s all good, the more the merrier. You will see from the article I am attaching here, one of the main components to house prices rising is simply, supply and demand. My advice? Pay more attention to what it costs you per month as opposed to the price. If you get into a home and the price goes up another 19% in 2018 then you made money…if it goes up 3% you still gained equity and the mortgage payment write off is also helping you pay less taxes. Therefore, the loan and the interest rates are key to your success. Which means staying within your means and not overstretching. Web site as promised: http://naeba.org/blog/are-rising-home-prices-sign-new-housing-bubble

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