U.S. Metro Areas See Record Housing Boom
Speaking of interest rates, the Fed's (previously) super-low rates have helped fuel a housing boom, according a new government study. More U.S. housing markets are booming than at any time in at least 30 years, according to Federal Deposit Insurance Corp. analysis of government housing data. Although that may not mean a wave of bad-news "busts" is on the way, the risks could be high. Of 362 U.S. metropolitan areas, about 15% are in the middle of a housing "boom," defined as a three-year, inflation-adjusted price gain of 30% or more, the study said. Among the 55 booming locales are several red-hot markets in California, Florida and New York, along with Las Vegas, Boston and Washington, D.C. The FDIC said the percentage of boom markets was the highest ever in the 30 years Uncle Sam has been keeping track.