Housing market data has been one of the driving factors keeping the overall economic recovery on track. But with housing prices on the rise at a pace that's beginning to worry some investors, should we be on the lookout for a new bubble forming?

Motley Fool contributor Jessica Alling explains the reasons why some people in the know, like Tim Sloan -- CFO of Wells Fargo (NYSE:WFC) -- say that the prospect of a bubble is way off. She also talks about why bank investors should be happy to see continued improvements in the housing market.


Fool contributor Jessica Alling has no position in any stocks mentioned -- you can contact her here. The Motley Fool recommends and owns shares of Wells Fargo. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.