Real estate isn’t risky business, if you’re buying a place for you to live, now is it?
Though U.S home-price gains have slowed, prices still far outstrip fundamentals, according to Yale economist Robert Shiller.
In justifying his pessimism, he pointed out that price increases have far out paced rises in construction costs, rents and income. In addition, inventory levels are up, as are interest rates and real estate holdings as a percentage of the gross national product.
Complete story: Shiller: Real estate is risky business: Economist Robert Shiller points to several indicators that suggest prices are out of whack – By Les Christie, CNN/Money