Home Prices Formula-Reality Based:

I'm the only person who has the right take on how this happened...
After Republicans passed and Clinton signed the trade deals that sent our manufacturing base overseas, the lower overhead from cheap labor led to skyrocketing profits and the Dow went from under 4k to over 12k in a few years.
That glut of money from profits is what blew up the housing market. Between 1994 and 2000 values quadrupled in many places, but it was fake value. Just loose money finding a home in real estate.
In many places values are still a third or more higher than a logical growth pattern would have led to.
Blaming Fed policy and government easy lending only accounts for a fraction of the increse in prices. Most of urban and suburban real estate tripled and quadrupled in value following the stock market which did the same. All of this happened in less than a decade. It should have taken a century for real estate values and the market to triple. I personally knew rich people in the late nineties who were crawling over each other to pay 50% more than the assessed value for properties all based on the idea that they would double in value within 3-4 years. I heard the saying 'Real Estate Never Loses Value' thousands of times! True, the Fed under AG fell into the same mindset, but the stock values rise had put trillions of dollars in 'new money' so to speak on the market.