According to real-estate website Trulia, recent numbers from their monthly report show that the housing
market is 32% of the way back to normal. “Normal” refers to “the rough
estimate of the long-term pre-bubble average,” said Jed Kolko, chief
economist and head of analytics at Trulia. Construction starts,
delinquency and foreclosure rates, and existing-home sales all factor
into his calculation.
June construction starts rose 7% compared to the month before, and
rose 24% compared to the year before. Overall, Kolko calculates that
construction starts are 28% on the way back to being normal. In
addition, Zillow earlier this week announced that that home prices have
found their bottom, and predicts prices to rise in the upcoming year.
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