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Census Bureau, home size steadily increased from 1999 through 2008/2009, which we all know was when the housing market crashed. Other factors eventually led to the crash including subprime mortgages, predatory lending, and questionable securitization by lenders, however, that is a topic for another day.
Housing starts plummeted to the lowest levels in 50 years in April of 2009 and the cost to build soared. If one would normally pay 20% based upon their tax bracket, they will pay 10% instead. A loan that pays off early does not provide the expected return and everyone on the lending side loses. A lost 20 years.
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