Housing bubble is for a seperate thread, too.

My relatives had been warning me of the housing bubble (realtors) since 1988, when I started house hunting. In 1998 when I bought a house, I was advised by my relatives to "buy the cheapest home in the nicest neighborhood so that I could get out quickly and not ever go upside down". Good advice. It worked.

The housing bubble is not only a governmental mistake, it also involves those originating junk loans. In fact, I'd say the 'honor system' will place the blame totally on loan originators, not policy. But this, again, is for a separate thread...