NY Post: Pricey Housing May Pop Market

Professor John H. Vogel via New York Post about the current housing prices in the United Sttes:

"That seems to contradict the idea that housing prices are going to continue to increase," said John H. Vogel, adjunct professor at the Tuck School of Business at Dartmouth. "If interest rates do jump 3 or 4 percentage points, then there's no way prices can go up."

Vogel expects interest rates to rise - and housing prices in some markets to fall as much as 20 percent. "We've all gotten so used to housing prices going up that it's hard for homeowners to think of them doing anything else," he said. "But I think prices will be down next year and head down for a while."

Source: New York Post by Janet Whitman May 27, 2006