Right now, the economy is producing enough jobs, and the supply of homes in hot areas is low enough to sustain local markets, said Delores Conway, an economist with University of Southern California's Lusk Center for Real Estate, in an interview with MarketWatch. "One of the basic things is that we have good job growth," Conway said. But "most importantly, we have very limited supply," she said, particularly in hot markets such as Southern California, the San Francisco Bay Area, Boston, New York and Washington, D.C.
