WSJ article on Home flipping

[Wei Xie]

An interesting WSJ article this week about sizzling popularity of home flip, particularly in SoCal. Participation of hedge funds and support from big banks.

"

House Flipping Makes a Comeback as Home Prices Rise

Number of investors flipping homes returns to precrisis levels; big banks get back in the game

House flipping, a potent symbol of the real-estate market’s excess in the run-up to the financial crisis, is once again becoming hot, fueled by a combination of skyrocketing home prices, venture-backed startups and Wall Street cash.

..."

http://www.wsj.com/articles/as-home-prices-rise-fl...

Any thoughts on it? Is it an indication of bubble in the underlying asset price? I heard a well-known quote about stock market that the market is not far from crash if even taxi drivers are talking about stock investing. Not sure if it applies to flipping.