The Housing Market Crash of 2007 and What Caused the Crash
Posted on by Tom DeGrace  Housing Market Crash of 2007  The
Housing Market Crash of 2007 was the worst housing crash in U.S.
history. The Housing Market Crash of 2007 was the cause of the
financial crisis. This nearly caused the U.S. to experience
another depression like the Great Depression. There are a number
of things we can look at to determine how the housing bubble
occurred and what happened to cause the bubble to collapse.  The
Housing Bubble  The housing market experienced modest but steady
growth from the period of 1995 to 1999. When the stock market
crashed in 2000, there was a shift in dollars going away from
the stock market into housing. To further fuel the housing
bubble there was plenty of cheap money available for new loans
in the wake of the economic recession. The federal reserve and
banks praised the housing market for helping to create wealth
and provide a secured asset that people could borrow money to
help the economy grow. Ther