Speculation about property values is as old as the U.S. itself, but it used to be much more localized, explains Robert Shiller, Yale economist. Is the recent housing roller coaster likely to repeat itself in the future?
Robert Shiller explains that, while housing bubbles are a product of recent history, beginning after WWII, speculation about land values is as old as the U.S. Even George Washington had been a surveyor and founder of a subdividing company before becoming president.
Shiller explains that "land fever" arose when a promoter heavily subdivided a plot and generated "buzz" around it. Not until the 1920s did the media catch on and report on the sheer aggrandizement associated with such schemes: In Florida, for instance, jungle and swamp land was being sold to unsuspecting newcomers as perfectly buildable.
He goes on to describe how the misconception of land finitude has driven up housing prices, and may have led many to miscalculate the return on their investments in recent crises.
While housing is certainly tied to land, it is generally the structure itself that determines its worth in the vast swath of developments in the U.S. outside of densely populated areas. Interest rates and inflation also drive the housing market, and the likelihood of a rise in both make this "an auspicious time to buy a house with a fixed-rate mortgage," he argues.
FULL STORY: Before housing bubbles, there was land fever

Maui's Vacation Rental Debate Turns Ugly
Verbal attacks, misinformation campaigns and fistfights plague a high-stakes debate to convert thousands of vacation rentals into long-term housing.

Planetizen Federal Action Tracker
A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

In Urban Planning, AI Prompting Could be the New Design Thinking
Creativity has long been key to great urban design. What if we see AI as our new creative partner?

Researchers Use AI to Get Clearer Picture of US Housing
Analysts are using artificial intelligence to supercharge their research by allowing them to comb through data faster. Though these AI tools can be error prone, they save time and housing researchers are optimistic about the future.

Making Shared Micromobility More Inclusive
Cities and shared mobility system operators can do more to include people with disabilities in planning and operations, per a new report.

Car Designs Make it Harder to See Pedestrians
Blind spots created by thicker pillars built to withstand rollover crashes are creating dangerous conditions for people outside vehicles.
Urban Design for Planners 1: Software Tools
This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.
Planning for Universal Design
Learn the tools for implementing Universal Design in planning regulations.
Appalachian Highlands Housing Partners
Gallatin County Department of Planning & Community Development
Heyer Gruel & Associates PA
Mpact (founded as Rail~Volution)
City of Camden Redevelopment Agency
City of Astoria
City of Portland
City of Laramie