Bubble? What Bubble?
The web site from National Mortgage News has a new weekly data special. This one details overall mortgage production from 1980 into the beginning of 2005. In any bubble, one expects to see a parabolic rise at the peak. This data seems to show just that. From 1980 to year 2000, the dollar increase was 800%. Yet through 2003 the originated amount shot up another 365%, more than tripling the 20 year increase in a mere three years.
From that 2003 high, the market dropped $1.3 trillion, 31%, in one year. Further losses are predicted for 2005.