Boom and bust in the housing market a Low interest rates and large inflows of foreign funds created easy credit conditions for a number of years prior to the crisis n The USa home ownership rate increased from 64%in 1994(about where it had been since 1980 to an all-time high of 69.2%in2004Boom and bust in the housing mar ket  Low interest rates and large inflows of foreign funds created easy credit conditions for a number of years prior to the crisis.  The USA home ownership rate increased from 64% in 1994 (about where it had been since 1980) to an all-time high of 69.2% in 2004