real estate

What is a housing bubble?

 

What is a housing bubble?

The Bankrate.com financial term of the day is: "Housing Bubble"

A housing bubble is similar to a soap bubble that forms and inflates -- and eventually pops. In a housing bubble, home prices are rapidly pumped up by both demand for homes and speculation. When the bubble bursts, prices go into a steep decline.

A housing bubble is a rather rare animal. More typically, a real estate boom ends when home prices flatten out for a few years.

To find a great rate on a home loan, visit the Mortgages section at Bankrate.com.

advertisement

Show Bankrate's community sharing policy
          Connect with us
advertisement
advertisement
advertisement

Blog

Tara Baukus Mello

Tires are tops for safe driving

The season for road trips is here. Before you pack up the family, the car and get behind the wheel, read these 6 tips for safe driving.  ... Read more


Connect with us