The government, from what he said just papered over the problem with interest rates. The person in charge decreased the interest rates, hoping the housing bubble would slowly resolve back to equilibrium. Yet after a few years at barely zero percent interest rates, the housing market crashed due to low interest rates. During the bubble people bought more land to build, posses more houses, and added mortgage on other properties. By the time the bubble ended the debt sky rocket, there were too many houses, and housing prices went through the roof.
I love how you implied that it is harder to get a house currently!!
This is a really good response! And yes, she the government tried to cover up the problem they really just made it a bigger issue that it was in the first place