Sheila Bair, who had a front row seat to the subprime mortgage meltdown, is worried the housing market is unsustainably hot. Bair, who served as a federal regulator when the mid-2000s housing bubble popped, nearly taking down the entire financial system, said home prices today are “bubbly” following years of rock-bottom mortgage rates. “I see much less speculation in the housing market today, thank goodness,” said Bair. Dizzying heightsLegendary investor Jeremy Grantham shares Bair’s concern about a housing bubble. In many ways, today’s housing market is the polar opposite of the one that preceded the Great Recession.

Source: CNN October 13, 2023 16:09 UTC