> The nation is seeing extreme increases in price, maybe that’s a bubble. HCOL areas like the Bay Area, LA, and Seattle I doubt are in a bubble. I generally a

> The nation is seeing extreme increases in price, maybe that’s a bubble. HCOL areas like the Bay Area, LA, and Seattle I doubt are in a bubble. I generally agree. The highly paid workers living in these regions continue to be highly paid, and the quantity of housing continues to be constrained. I think a lot of small/medium cities will see corrections if lumber prices go back down. There will be a building boom, new subdivisions will flood the market and drive prices back down on the fundamental costs of producing housing. In larger cities, we're too space constrained (and building high density is illegal) so this feedback loop has been broken and will continue to be broken, thus prices are set by whatever can be afforded with a local wage.