There were three good reasons in the mid-2000s to believe that housing prices should jump substantially....How much were these worth? Not enough to boost housing prices to their 2005 values. But plausibly enough to boost housing prices to their values today. IMHO, the best way to view the graph is as a positive "displacement" boom caused by true fundamentals, a bubble upward overshoot, a crash downward undershoot, and now (we hope) equilibrium.
Maybe! Check back in a couple of years and I'll tell you who's right.