The Key Fundamentals of the House Price

When people speak about bubbles, usually they're referring to a large discrepancy between an asset's intrinsic value and its market price. Brent Ambrose: What are the key fundamentals that contribute to a house's intrinsic value? And it makes total sense because supply reacts to demand. If the housing market would be as elastic as in the peanut butter market, we wouldn't see fluctuations though. Price would just stay flat. We do see some fluctuations, but in the long run, prices are flat just like in peanut butter.