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California Housing Bubble 2.0 in Pictures

Fantastic, everybody made some good money in the past 18 months thanks to the Fed’s aggressive monetary policy — or, to be specific Twist, QE3, and QE4 — which dropped mortgage rates from 5.5% to sub 3.5% almost overnight in late 2011. This made it so everybody could instantly “afford” 20% more house. Over the next year this increase in “purchasing power” pushed house ‘prices” higher.

via 10-15 Hanson…California Housing Bubble 2.0 in Pictures.

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