With the new low rates, where to buy?

[yitzf]

This more about mortgages being cheaper than rent, because Lakewood homeowners factor in $1200 income from basement rentals.
 People are not really affording x amount for their home. They are also investing in a rental. - this unique factor really shakes up any normal economic model. And arguably is the cause of the inflationary prices charged by developers.

That has been around for 15+ years.

[yitzf]

Here's an explanation of what happens during a bubble and when it bursts.
http://www.holypotato.net/?p=1158

The speculative aspects of a bubble are definitely here, the question is if demand will keep up, or will a crack appear and the house of cards will fall...

[Yammer]

what if real estate crashes and stocks soar?

That's never happened.

[coralsnake]

The Fed would still try to lower rates to stimulate the RE  market. Real Estate is a large part of GDP ,
  http://www.nahb.org/en/research/housing-economics/housings-economic-impact/housings-contribution-to-gross-domestic-product-gdp.aspx

That would be impossible right now.

[ayman]

LOL