courseofhistory
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Looks like the economy is improving. More good news for Obama!
Rising Home Prices Brighten Economic Outlook
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To be sure, real estate values arent soaring as they did during the housing boom, and the level of prices remains about 30% below their 2006 highs, according to S&P data. But you have to crawl before you can walk.
The news has to bring joy in the hallways of the Federal Reserve. Thats because rising home prices bring a hat trick of benefits to the economic outlook.
First and most obviously, rising prices indicate the housing market is in better balance. The supply of homes has shrunk considerably since the worst of the housing recession, while low rates and somewhat better job markets have lured in more buyers. A relatively low level of inventory coupled with rising demand will support greater homebuilding in the future, a plus for real gross domestic product.