Hi guys. Below I have linked 2 fantastic research papers by the San Francisco Fed (a regional branch of the US Federal Reserve).
The first one, titled 'Bubbles, Credit and Their Consequences' assesses the relationship between credit and asset price booms, and also runs a comparison between potential bubbles in equity markets versus housing markets, and the (significant) difference in their overall consequences.
The second one, titled 'Measuring Monetary Policy's Effect on House Prices' looks into the role of central banking policy in directing house price movements.
These papers are quite easy to read and to follow. They are also a rare, unbiased viewpoint from a policymakers perspective and there are some very useful points in there for both the bulls and the bears. I highly recommend reading these regardless of whether you invest in property or not. I find that universally, many people who invest in property disregard the economics beneath the surface, when in fact this is far more important to price movements than population growth, land, location etc.
