Nationally, what two factors caused the bubble in the real estate market?
A) high interest rates and high foreclosures
B) low interest rates and low foreclosures
C) low interest rates and loose credit standards
D) tight credit standards and low interest rates
E) adjustable rate mortgages and poorly constructed homes

Question

Quizplus · Accepted Answer

Low interest rates and loose credit standards allowed for more people to qualify for mortgages and therefore increased the demand for housing, which drove up prices. This ultimately led to a bubble in the real estate market.

Nationally, What Two Factors Caused the Bubble in the Real