[capitalist229]

What happens if the valuations of property nationwide, but particularly in the specific speculative markets start to fall, and qualified homeowners see their assessments drop, and watch their loans turn upside down?

It's called deflation and helicopter Ben has been airdropping some serious bucks in the past few months to forestall it. Witness the recent dollar swoon.

Although the Fed created the bubble in the first place with 1% rates, this time Americans will be taking a bath with Mr. Housing Bubble.

Where's that cartoon when you need it ?

BUMP

[Moonman62]

It's called deflation and helicopter Ben has been airdropping some serious bucks in the past few months to forestall it.

How did he do that with an inverted yield curve?

Witness the recent dollar swoon.

Maybe you should look at the actions of foreign central banks to explain that, especially the ECB.

[Southack]

"Although the Fed created the bubble in the first place with 1% rates, this time Americans will be taking a bath with Mr. Housing Bubble."

It's always something. You had a gold and oil bubble in the 1970's, an S&L crisis in the 1980's, a tech market bubble in the 1990's, and now a housing bubble.

The herd stampedes from one fad to another (leaving a few laggards from each generation to pine for an earlier fad). Don't be shocked.

Nor should you be surprised when the next big thing turns to a bubble and then a bust. I'm guessing bonds, but who really knows.