The historical Link

The historical Link between Housing, Mortgage and Financial Crisis.

The USA experienced the worst financial crisis and recession between the year 2008 and 2009. This had been preceded by the housing bubble that was experienced between the mid 90’s and 2005. The increase in demand for housing resulted in an inflation fueled ride in price of housing and a resultant oversupply of housing units that were un affordable to the masses. This saw the government put pressure on mortgage lenders to provide affordable housing, a move that saw monetary policies being distorted and the credit sector being unregulated This Essay elaborates the