Real Estate Bubble

My wife was listening on the radio to a person who claimed that the current increase in real estate prices was just a bubble that was about to burst. His reasoning was a little suspicious though. He said that only 3 percent of the land was being used for housing and this left 97 percent of the land relatively inexpensive.

Looking at a map of the United States, one could easily see that most of it is relatively empty and the land is probably dirt-cheap. But that commute from Wyoming into the District would be a killer.