If we ever had any doubt, there is a new real world example of the law of supply and demand:
Raleigh, N.C. — Home sales in the Triangle area shot up 44 percent in October from a year ago, but the good news was offset by a 12 percent decline in sale prices.
As prices decrease, demand increases. Very soon, if left to its natural devices, the housing market will be dangerously close to equilibrium.
Oh, yeah. About that pesky decline in sale prices? Yeah, 2000+ families have now found buying a home affordable.
New and existing property sales hit 2,009 in October, up from 1,397 a year ago, according to the North Carolina Association of Realtors.