Boom times can go on much longer than expected — or get second winds. Even when the financial markets enter a period of "irrational exuberance," it can go on longer than seems possible, with huge increases in home and/or stock value.
Regardless of how recent cycles have played out, it's vital to understand how difficult it is to predict when a real estate cycle will begin or end. Here's a look at the past 30+ years of San Francisco Bay Area real estate boom and bust cycles to make a little sense of it all.