re: Housing prices are alarming

quote:

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So why we may not have true subprime lending in housing like what cause the '08 crash you have a sort of indirect subprime lending because rates were kept so cheap for so long it allowed companies to offer cheap finance deals on a lot of products and consumers have put themselves in a horrible overall debt picture as a result.

That cheap money will go away one day as markets slow then consumers will feel it.

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well if markets heat up the interest rates will rise and it will bring the reckoning that way, too

cheap credit creates bubbles. that's effectively a law of economics.