Money manager who predicted U.S. housing crash says real estate bubble is about to burst

Montana money manager James Stack predicted the housing crash in 2005, just before prices reached their peak. Now his “Housing Bubble Bellwether Barometer” of homebuilder and mortgage company stocks, which jumped 80 percent in the past year, is once again flashing red. Stack, who has a collection of newspaper articles on bear markets dating back to 1929, claims, “It is 2005 all over again in terms of the valuation extreme, the psychological excess and the denial.”