Bubble in US house prices collapsed
The bubble in US house prices—which had seen house prices grow at an anualized rate of 8% between 1998 and 2006—collapsed in 2006/07 as the supply of easy credit began to dry up.


US Real Home Price Index 1900 to 2007

Source: Robert Shiller (via Sequoia Capital)
Immediately related elementsHow this works
-
The Global Financial Crisis »The Global Financial Crisis
▲
Immediate triggers of the financial crisis? »Immediate triggers of the financial crisis?
■
Bubble in US house prices collapsed
●
Household debt service ratio rose steeply »Household debt service ratio rose steeply
●
Personal savings rate evaporated »Personal savings rate evaporated
●
Demographic changes as baby boomers move to retirement »Demographic changes as baby boomers move to retirement
●
Large high risk loans predicated on rising house prices »Large high risk loans predicated on rising house prices
●
Mortgage equity withdrawls no longer self sustainable »Mortgage equity withdrawls no longer self sustainable
●
Vicious circle once the collapse gets underway »Vicious circle once the collapse gets underway
◄
House price bubble in the US »House price bubble in the US
+Komentarai (0)
+Citavimą (0)
+About