What's Behind The Condo Explosion?

Do exploding condo prices signal and housing bubble or the preferences of a new demographic of homeowner?

1 minute read

August 21, 2005, 1:00 PM PDT

By Chris Steins @planetizen


"As condominium prices reach never-before-seen heights, a debate is brewing over whether a fundamental demographic shift is driving the trend or whether this is simply the latest speculative bubble in a corner of the real-estate market that has seen plenty of them.

... Demographic changes in the middle class can explain some of this. The ideal of the two-parent family with 2.2 children living in a suburban house is being supplanted by an array of arrangements, including single professionals, divorcees, active retirees and single parents. For many of these people, an urban condo is both more luxurious and convenient than a house with a yard."

[Editor's note: The link below is available to non-subscribers for a period of six days.]

Thanks to Chris Steins

Thursday, August 18, 2005 in Wall St. Journal

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