<Tr> <Td> <Ul> <Li> </Li> <Li> </Li> <Li> </Li> </Ul> </Td> </Tr> <Ul> <Li> </Li> <Li> </Li> <Li> </Li> </Ul> <P> The United States housing bubble was a real estate bubble affecting over half of the U.S. states . Housing prices peaked in early 2006, started to decline in 2006 and 2007, and reached new lows in 2012 . On December 30, 2008, the Case - Shiller home price index reported its largest price drop in its history . The credit crisis resulting from the bursting of the housing bubble is--according to general consensus--an important cause of the 2007--2009 recession in the United States . </P> <P> Increased foreclosure rates in 2006--2007 among U.S. homeowners led to a crisis in August 2008 for the subprime, Alt - A, collateralized debt obligation (CDO), mortgage, credit, hedge fund, and foreign bank markets . In October 2007, the U.S. Secretary of the Treasury called the bursting housing bubble "the most significant risk to our economy". </P>

When did the housing market crash in 2008