Has the strength in the housing market surprised you? The strength boils down to supply and demand. Remember back in 2007 when we faced a housing bubble? Back then, we had 4 million homes up for grabs. Fast forward to now, just a little over 1 million available. Meanwhile, our population has grown by a staggering 34 million people! That means millions more are competing for significantly fewer homes, which pushes home prices higher. While it’s true rising interest rates dampen demand, there are 2 million new households being formed every year and they all need a place to call home. With builders supplying only about 1.4 million new homes, there's a clear imbalance.