Robert Shiller says in the video below,
“Homeowners seem to be losing interest”, though he didn’t give evidence or details on why he thinks that – maybe the more-pedestrian price increases?
If he thinks homeowners/homebuyers are losing interest because sellers keep asking more, then I’d agree. The Case-Shiller Index for San Diego may be creeping up at roughly 1% per month, but list prices seem frothier.
But mortgage rates in the 3s will ignite the frenzy all over again!
Jim Klinge
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Trustindex verifies that the original source of the review is Google. Jim & Donna Klinge helped us sell our home of 30 years in Ocean Hills. We were very happy with their service and would HIGHLY recommend them to anyone looking for an Honest, Knowledgeable, Skilled, Informed Efficient realty team. Both Jim & Donna were so helpful in different ways and complemented each others skills. Please refer to a more detailed review that we wrote on YELP. Thank You Both for all your help!!!Trustindex verifies that the original source of the review is Google. A+ thank youTrustindex verifies that the original source of the review is Google. Many years ago, we purchased a home in Carlsbad, using a realtor that was recommended to us - Jim Klinge. Fast forward to 2025, we recently had the privilege of selling 2 homes in Carlsbad, CA and didn't hesitate to reach out to Jim and Donna Klinge of Klinge Realty Group to guide us through the sales. The transactions were very different, each with its own unique situation, opportunities and challenges. From start to finish, Donna and Jim helped navigate the pre-sale preparation, the listing, showing of the house, buyer negotiations, the final close and all of the paperwork and decisions in between. What stands out with both transactions is the professionalism of Jim and Donna (and their team), wonderful communication (timely, relevant, concise), their deep understanding of market dynamics (setting realistic expectations), their access to top-notch contractors, and last, their ability to guide us across the finish line successfully. We wouldn't hesitate to use Jim and Donna in the future and highly recommend them for anyone looking to buy or sell a property in North San Diego County.Trustindex verifies that the original source of the review is Google. We sold a home with Jim and Donna and from beginning to end they were consummate professionals. 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We have known Jim & Donna Klinge for over a dozen years, having met them in Carlsbad where our children went to the same school. As long time North County residents, it was a no- brainer for us to have the Klinges be our eyes and ears for San Diego real estate in general and North County in particular. As my military career caused our family to move all over the country and overseas to Asia, Europe and the Pacific, we trusted Jim and Donna to help keep our house in Carlsbad rented with reliable and respectful tenants for over 10 years. Naturally, when the time came to sell our beloved Carlsbad home to pursue a rural lifestyle in retirement out of California, we could think of no better team to represent us than Jim and Donna. They immediately went to work to update our house built in 2004 to current-day standards and trends — in 2 short months they transformed it into a literal modern-day masterpiece. 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Jim understanding my needs, recommending potential places, pointing out the pros and cons of each property was invaluable. Then when the offer was accepted Donna’s organized guidance through the inspections, paperwork etc made the whole process seem effortless. So grateful that I had them on my side!Load more
Is that the Shiller who owns not one but two houses?
It just feels like Shiller is looking too hard for his next bubble call. Media attention can be addictive I figure.
I’ve always liked that Shiller tries to look at things analytically without getting too attached to the emotional part of it. The emotional component of asset prices is impossible to measure but it’s the key in bubbles. People use emotional arguments rather than analytic ones in bubbles to justify prices.
The question Shiller is answering isn’t in the video, but I interpret the “losing interest” comment as saying that general population of homeowners really isn’t all that excited about the 20% YoY gains. It’s nice but it’s not changing their behavior. It’s not triggering a bunch of move up buys. The equity isn’t being HELOCed to buy a new car or do a major remodel. The investors are excited about the gains though.
If the premise is that the investors were the ones that drove the prices up and the owner users just followed along because of the low interest rates. Then does that mean these investors might drive the prices lower if they see the momentum in prices stall. We don’t know but I think it’s a risk at the macro level.