The real property market is thriving and the housing bubble is very real, according to one of the most influential voices in the industry.
Speaking to CNBC, David Kotok, former chief economist at the Federal Reserve Bank of New York, said that the housing market was already overheating and that the bubble would not burst.
“Real estate is a very complex asset,” Kotok said, “it has a number of components, so you’re not just going to see this one component in real estate, you’re going to have a number that you can’t predict.
And that’s what’s really worrisome.”
Kotok was the first economist to predict the housing price bubble in 2006, and he has been forecasting it since.
The Federal Reserve has repeatedly warned that the economy is running out of money, and many economists have warned of a bubble bursting.
Kotoks main concern was that the stock market would crash in the first quarter of 2019, but the bubble has since popped and the stock markets have recovered.
Kotaok said that he believes the housing bubbles have already burst, but that it will take a long time to recover.
“We don’t have a bubble to show.
We have a crisis that’s been building for decades.
And we’re not seeing the economy growing,” he said.KOTAK: The housing bubble has been building since the 1970s.
The bubble has exploded and is now coming to an end.
It will take time to get back to a normal growth rate.
So, if we’re looking at a recession, we should look at that as the real problem.