Rising home prices have led people to wonder whether the United States is in a housing bubble. More importantly, are we heading toward a housing market crash?
Fitch Ratings, a credit ratings and analysis company for financial markets, estimated that national home prices were overvalued by 8.2% as of March 31, 2021. Fitch also calculated that home prices in the U.S. grew by more than 10% last year, more than they had since 2014.
Incredible demand has led to the overvaluation of homes, and in some cases, bidding wars. But money expert Clark Howard sees differences between what’s happening now and the period before the housing market crashed in the late 2000s.
In this article, I’ll explore those differences and share Clark’s advice for people considering entering the housing market in 2021.
Clark’s Prediction on the Housing Market
The huge demand in the housing market right now has led people to wonder whether another crash…