Its completely insane. The same idiot RE brokers who try to convince people that these little S$%%^76 shacks are going to two million are the same idiots who said that the business cycle was broken in the late 90's and that anyone and everyone in tech market was going to be millionaires by investing in companies they never even heard of.
The real estate market is do different today. Every idiot wants to be a Carlton Sheets millionaire with never even a basic understanding of RE laws etc etc. These fools will get a rude awakening when they have to pay increasing taxes, finance costs, tenants skip, and prices stay staganant or dip.
For many getting in right now. Even if prices rise at 5% per year many will not be able to sell the property for a profit for even a few years when one considers the cost of a realtor and closing costs.
I just cannot believe that the homes are going for as much as they are. There are a ton of people investing in Real Estate who know absolutely nothing about it. Carlton Sheets is no help on this one.
A UCLA economist is saying because of this trend, he expects the bubble to burst. For myself, I won't lose, but for many people, It is unfortunate.