Well heck, I really don't know but I could speculate all day.
There is a lot of discussion about correlation between housing and the stock market but LOTS of things effect the markets (obviously), and they get all twisted over international issues too. You know...stuff like wars and oil.
But it's abundantly obvious, to me anyway, that the interest rates were lowered quite intentionally to kick start the economy. And the immediate effects show up in housing.
Shap made a statement about banks/lenders not loaning you money if you can't afford it but banks are really pretty short sited (not like they're doing a booming business in CD's
), and I'm REALLY glad you brought up the last "slump". Remember all the repo's? Holy cow - what a nightmare. It could happen and I think it probably will.
A man is the sum of his actions, of what he has done, of what he can do, Nothing else.
Mahatma Mohandas K. Gandhi