We are probably all familiar with the saying,
"Those who don't know history are doomed to repeat it" - Edmund Burke
I would like to modify this slightly by stating, 'Those who ignore history are apt to repeat it'.
It was in 2008 when the last housing bubble exploded with terrifying results, yes, just about nine years ago, and here we are actively occupied to create another housing bubble; the chart below clearly shows that.
Taken from https://www.theautomaticearth.com/2017/11/the-biggest-ponzi-in-human-history/
Granted this is a very busy chart, however, it clearly shows that we are, worldwide, well on the way to not only create another housing bubble, but to invite another housing market collapse. Even Germany who did not participate prior to 2008, has now joined the irresponsible crowd of nations, and, apparently, has found a reason why to participate, in the madness, this time.
For a while, right after the collapse, the lending industry (banks, etc) placed some hard rules in place, requiring reasonable assurance that the borrower has the means 1) to purchase the property, and 2) service the mortgage. It did not take long before many lenders, who needed/wanted more fees, etc. were relaxing these more strict requirements. In addition, interest rates are kept, to this day, at a very low level, inviting again those, who really should not purchase a property; they cannot afford, in the long run.
I am afraid the next housing collapse will make the prior look like a little bump in the road; this time it will be much more devastating, because the evil planners will want much more than previously. The curve describing human greed is an exponential one! For the most part, housing values have regained their previous losses and some. It will be risky to acquire real estate in these uncertain times; some countries are more risky than others, to be sure. But, in the end the 'Domino' effect will be the equalizer.
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