Barbara Corcoran of “Shark Tank” says most are “overpriced” in housing market – Press Enterprise

By John McCorry and Tom Keene | Bloomberg

Barbara Corcoran, the real estate agent many Americans might dream of having, says house prices are rising so fast that ordinary people can’t afford it and that’s unfair.

“Most people are shut out of the market,” the co-founder of her eponymous venture capital partnership said in an interview with Bloomberg TV Watch on Wednesday. “It just seems unfair to feel obligated to be a pro investor who drives up prices. “

Corcoran is best known as a panelist and executive producer on “Shark Tank”, the ABC reality show where professional investors evaluate small businesses. In 1973, she founded the real estate brokerage firm Corcoran Group in New York, which became one of the largest residential real estate companies in the region; she sold it in 2001.

“I have never seen an increase like” the soaring US home prices linked to the pandemic, Corcoran said in the interview.

For example, US home prices jumped 19.7% in July, once again registering the biggest jump in more than 30 years, according to a Sept. 28 count of the S&P CoreLogic Case Index- Shiller of real estate values. This followed an 18.7% jump in June, and it was the 14th consecutive month of acceleration in price increases.

“The market has gone completely bonkers with no end in sight,” Corcoran said. “Everything is sold in bidding wars. I just hope the prices cool down a bit because so many people are being shut out of the market.

She doesn’t see soaring house prices causing the same kind of financial chaos that a mortgage crisis triggered over a decade ago.

“It’s not the same kind of market. Today’s market is fueled by individual buyers who want a better place to live, ”said Corcoran. “When we had this drop it was fueled by investors, house pinball machines, bad mortgages. It was a false market, with a false bottom, and it fell. We’re not going to have that now.

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Robert Valdivia

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