What's happening with the US housing market? After the government pushed the housing bubble through regulations and Fannie Mae/Freddie Mac, the subprime crash in 2007-8 has collapsed the entire housing market. During the inflation phase of the bubble, homeowners used home-equity loans to withdraw money from their home to spend in other areas. Now with many mortgages "below water" that line of easy credit is much reduced. After the big wave of foreclosures pushed down prices, investors have been buying homes. One trend has been all-cash purchases. For example, all-cash purchases reached over half of transactions in regions that were housing bubble hot spots, like Las Vegas. I expect the housing market will remain weak for years due to tighter lending standards and changing demographics. The US's housing market will decrease from the high levels of home ownership reached in the mid-2000s and renting will be more common.