Overly tight credit killed 1.1 million mortgages in 2015 (versus 7.6 million foreclosure filings from Q3 ’07 To Today)

Credit is like Sweetums’ ‘NutriYums’ snack bars in the TV show Parks and Recreation. An enormous sugar high … followed by a massive sugar crash.
In the US, we keep experiencing ‘easy credit highs’ (like eating 10 Sweetums’ ‘NutriYums’ bars) invariably followed by a devastating crash. Examples? Mortgage credit growth following the Clinton 1995 National Homeownership Strategy. Then the auto loan credit bubble since the last recession.
Will the US try to repeat the disastrous mortgage credit bubble that began in 1995 and blew up in Q4 2007?

This post was published at Examiner by Anthony B. Sanders ‘ November 25, 2016.

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