Real Estate Bubble? Does It Exist and what Does It Mean?
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A bubble can be defined as "a price level that is much higher than warranted by the fundamentals" (dictionary.com). These bubbles occur when prices continue to rise for no other reason than investors believe these investments will continue to rise in value and subsequently be sold at even higher prices. There has been much debate for the past few years as to whether a bubble exists in the real estate market or if the market simply exhibits strong fundamentals. …
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