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Housing Bubble
A housing bubble (or housing price bubble) is one of several types of asset price bubbles which periodically occur in the market. The basic concept of a housing bubble is the same as for other asset bubbles, consisting of two main phases. First there is a period where house prices increase dramatically, driven by real estate investing. In the second phase, house prices fall dramatically, making housing more affordable. Housing bubbles tend to be among the asset bubbles with the largest effect on the real economy because they are credit-fueled, and a large number of households participate and not just investors, and because the wealth effect from housing tends to be larger than for other types of financial assets. Housing bubble definition Most research papers on housing bubbles use standard asset price definitions. There are many definitions of bubbles. Most of them are normative definitions, like that of Joseph Stiglitz (1990),Stiglitz, J.E. (1990). “Symposium on bubbles” ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
United States Housing Bubble
The 2000s United States housing bubble or house price boom or 2000s housing cycle was a sharp run up and subsequent collapse of house asset prices affecting over half of the U.S. states. In many regions a Real-estate bubble, real estate bubble, it was the impetus for the subprime mortgage crisis. Housing prices peaked in early 2006, started to decline in 2006 and 2007, and reached new lows in 2011. On December 30, 2008, the Case–Shiller index, Case–Shiller home price index reported the largest price drop in its history. The credit crisis resulting from the bursting of the housing bubble is an important cause of the Great Recession in the United States. Increased foreclosure rates in 2006–2007 among U.S. homeowners led to a Subprime mortgage crisis, crisis in August 2008 for the Subprime mortgage, subprime, Alt-A, collateralized debt obligation (CDO), mortgage loan, mortgage, Fixed income, credit, hedge fund, and foreign bank markets. In October 2007, Henry Paulson, the ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Economic Bubble
An economy is an area of the Production (economics), production, Distribution (economics), distribution and trade, as well as Consumption (economics), consumption of Goods (economics), goods and Service (economics), services. In general, it is defined as a social domain that emphasize the practices, discourses, and material expressions associated with the production, use, and management of resources. A given economy is a set of processes that involves its culture, values, education, technological evolution, history, social organization, political structure, legal systems, and natural resources as main factors. These factors give context, content, and set the conditions and parameters in which an economy functions. In other words, the economic domain is a social domain of interrelated human practices and transactions that does not stand alone. Economic agents can be individuals, businesses, organizations, or governments. Economic transactions occur when two groups or parties agr ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Chinese Property Bubble (2005-11)
Chinese may refer to: * Something related to China * Chinese people, people identified with China, through nationality, citizenship, and/or ethnicity **Han Chinese, East Asian ethnic group native to China. **''Zhonghua minzu'', the supra-ethnic concept of the Chinese nation ** List of ethnic groups in China, people of various ethnicities in contemporary China ** Ethnic minorities in China, people of non-Han Chinese ethnicities in modern China ** Ethnic groups in Chinese history, people of various ethnicities in historical China ** Nationals of the People's Republic of China ** Nationals of the Republic of China ** Overseas Chinese, Chinese people residing outside the territories of mainland China, Hong Kong, Macau, and Taiwan * Sinitic languages, the major branch of the Sino-Tibetan language family ** Chinese language, a group of related languages spoken predominantly in China, sharing a written script (Chinese characters in traditional and simplified forms) *** Standard Chine ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Right To Housing
The right to housing (occasionally right to shelter) is the economic, social and cultural right to adequate house, housing and shelter (building), shelter. It is recognized in some Economic, social and cultural rights#National constitutions, national constitutions and in the Universal Declaration of Human Rights and International Covenant on Economic, Social and Cultural Rights. The right to housing is regarded as a freestanding right in the International human rights law which was clearly in the 1991 General Comment on Adequate Housing by the UN Committee on Economic, Social and Cultural Rights. The aspect of the right to housing under ICESCR include: availability of services, infrastructure, material and facilities; legal security of tenure; habitability; accessibility; Affordable housing, affordability; location and cultural adequacy. The United Nations, UN Human Settlement Programme is known as UN-HABITAT. At least 84 states make an explicit reference to housing rights in th ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Real Estate Development
Real estate development, or property development, is a business process, encompassing activities that range from the renovation and re-lease of existing buildings to the purchase of raw Real Estate, land and the sale of developed land or parcels to others. Real estate developers are the people and companies who coordinate all of these activities, converting ideas from paper to real property. Real estate development is different from construction or Home construction, housebuilding, although many developers also manage the construction process or engage in housebuilding. Developers buy land, finance real estate deals, build or have builders build projects, develop projects in joint ventures, and create, imagine, control, and orchestrate the process of development from beginning to end.New York Times, March 16, 1963, "Personality Boom is Loud for Louis Lesser" Developers usually take the greatest risk in the creation or renovation of real estate and receive the greatest rewards. ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Housing Crisis
An affordable housing crisis or housing crisis is either a widespread housing shortage in places where people want to live or a financial crisis in the housing market. Housing crises can contribute to homelessness and housing insecurity. They are difficult to address, because they are a complex "web of problems and dysfunctions" with many contributing factors, but generally result from housing costs rising faster than household income. There is an ongoing decades-long increasing trend of cities around the world facing housing crises. Some notable examples of financial crises in the housing market are the American subprime mortgage crisis in 2007-2008 and the Chinese property sector crisis beginning in 2020. Global In much of the world, incomes are too low to afford basic formal housing, as housing expenses have increased faster than wages in many cities, especially since the 2008 financial crisis. In some places, this leads to informal settlement in slums or shantytowns, wh ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Cost-of-living Crisis
A cost-of-living crisis refers to a socioeconomic situation or period of high inflation where nominal wages have stagnated while there is a sharp increase in the cost of basic goods, such as food, housing, and energy. As a result, living standards are squeezed to the point that people cannot afford the standard of living that they were previously accustomed to. Public health is threatened. The population becomes 'poorer' than it used to be in real terms. This is in contrast to a situation in which wages are rising to meet the rate of inflation and workers' standard of living remains unchanged. During the 2020s, a cost-of-living crisis impacted many countries around the world amid global inflation. In February 2023, 3 out of 4 consumers globally were worried about the rising cost of everyday expenses. ''The Big Issue'' defines a cost of living crisis as "a situation in which the cost of everyday essentials like groceries and bills are rising faster than average household income ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Romanian Property Bubble
The Romanian property bubble was a real-estate bubble in Romania from the early 2000s to 2007. After the relative calm of the 1990s, since 2002 Romania has experienced a dramatic increase in property prices. Between 2002 and 2007, the median price for an old communist-era apartment rose by a factor of 10 (x 1000%), from around €10,000 to c. €100,000. Today some apartments in central Bucharest have prices comparable with those of properties in Paris or London, and in virtually every small town the median housing price rivals that of similar towns in the European Union. The Romanian market is also atypical compared with other Central European countries. By contrast with Hungary, Poland or the Czech Republic subsequent to joining the European Union (where prices remained stationary), when Romania joined the EU in 2007, housing prices jumped by some 20%. Causes of the rise in property prices The following are the most-often cited factors that have contributed to this increase i ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Polish Property Bubble
Real estate prices rose drastically from 2002 to 2008 in Poland. Between June 2006 and June 2007 the average price of one square metre of residential area in Warsaw rose from 6,683 PLN (1,636 EUR) to 9,540 PLN (2,519 EUR), or 50% in euro terms.Prices of flats in Warsaw Real Estate Statistics - 2007: Retrieved 4 November 2013 A peak in prices occurred in autumn 2008 as the average price of a square meter of residential space in Poland started to drop by 5% in nominal terms or 10% per year in real terms. Recent history of Polish housing House Price History in Po ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
New Zealand Property Bubble
The property bubble in New Zealand is a major national economic and social issue. Since the early 1990s, house prices in New Zealand have risen considerably faster than incomes, putting increasing pressure on public housing providers as fewer households have access to housing on the private market. The property bubble has produced significant impacts on inequality in New Zealand, which now has one of the highest homelessness rate in the OECD and a record-high waiting list for public housing. Government policies have attempted to address the crisis since 2013, but have produced limited impacts to reduce prices or increase the supply of affordable housing. However, prices started falling in 2022 in response to tightening of mortgage availability and supply increasing. Some areas saw drops as high as around 9% - albeit from very high prices. Unaffordable housing has produced profound impacts on New Zealand society. Between 1986 and 2013, home ownership dropped from 74% to 65%. Ba ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Lebanese Housing Bubble
The Lebanese housing bubble refers to an economic bubble affecting almost all of the Lebanese real estate sector, whereby property prices have risen exponentially since 2005 (an average 5-fold increase as of February 2010), while the GDP has risen only around 52% during that same period. Current status of the bubble The Lebanese GDP per capita is around US$13,000 (after taxes) while the Lebanese working abroad make on average around $30,000 /year (after taxes). A decent housing situation far away from Beirut can cost around $150,000, a decent housing in the suburbs of Beirut can easily cost 4 times that amount, while decent housing in the Beirut Central District could cost millions. Since home prices are rising constantly, many Lebanese and other investors are buying (through a mortgage) houses in order to resell them later (to other potential investors) at inflated prices. This strategy, as well as other deceptive strategies by the real estate agents left many Lebanese, both ins ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Japanese Asset Price Bubble
The was an economic bubble in Japan from 1986 to 1991 in which real estate and stock market prices were greatly inflated. In early 1992, this price bubble burst and the country's economy stagnated. The bubble was characterized by rapid acceleration of asset prices and overheated economic activity, as well as an uncontrolled money supply and credit expansion.Kunio Okina, Masaaki Shirakawa, and Shigenori Shiratsuka (February 2001):The Asset Price Bubble and Monetary Policy: Japan's Experience in the Late 1980s and the Lessons More specifically, over-confidence and speculation regarding asset and stock prices were closely associated with excessive monetary easing policy at the time.Edgardo Demaestri, Pietro Masci (2003): Financial Crises in Japan and Latin America, Inter-American Development Bank Through the creation of economic policies that cultivated the marketability of assets, eased the access to credit, and encouraged speculation, the Japanese government started a prolon ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
