The 2008 Financial Crisis: How the Housing Market Broke the World

The 2008 financial crisis began with a massive housing market crash. On September 15, 2008, Lehman Brothers collapsed with $613 billion in liabilities, triggering a global economic meltdown. But this real estate crisis didn’t start on Wall Street—it started with something millions of people wanted: a home. In this first episode of Uncoded: Crashes, we break down the mechanics behind the 2008 subprime mortgage crisis. You’ll learn how cheap money, rising house prices, predatory lending, AAA ratings, and extreme leverage built a fragile financial system. Discover what happened when property prices stopped rising, and why the global economy collapsed. 0:00 The day Lehman fell 0:42 Money got cheap 2:01 How mortgages became products 4:58 Leverage: 30 to 1 5:45 The cracks 7:13 September 2008 8:36 The fallout 9:45 What really caused 2008 10:16 Could it happen again? 10:45 The lesson Next episode: Japan's property bubble and the lost decades. Sources: Financial Crisis Inquiry Commission (2011), S&P CoreLogic Case-Shiller US National Index, Federal Reserve, S&P Dow Jones Indices. This video is for educational purposes only and is not financial advice. #2008crash #financialcrisis #housingmarket #realestate #lehmanbrothers #moneyuncoded