The U S dollar has lost upwards of 98% of its value since the inception of the Federal Reserve in 1913. This is because paper money, unbacked by gold or silver, is constantly created at will, by the trillions, to "back" runaway deficits in both current accounts and trade. This is called inflation. The more dollars chasing an item, the higher its price. Real estate is a prime example. Why buy a moderate sized home when a huge one will make you more money when you flip it? Fill all those extra rooms you're not going to use with new furniture while you're at it, and buy a new car or two for the driveway. And a boat, and a motor home to tow it. Finally, celebrate your astute money management with a lavish cruise. Make minimum payments on all cards, while treating non-maxed cards as "income". When the payments become unbearable, just re-fi the house. Repeat as necessary to keep up appearances and keep the party going. Until rates start going up and home prices go down. In which case, your lender becomes your landlord, just prior to your eviction. This 1977 hit by Brian May and Queen offers a nice rhythmical backdrop to the real estate bubble as it begins to burst. (I can just hear the banksters on the chorus..)