There were Over 3.1 million filing for foreclosures in 2008, a total of 861664 families lost there home. When the housing market fell it had quite an impact on the U.S. economy. Not many People understand exactly how it effected the economy. It had a direct impact, but also indirect impacts.

During the housing market crash there was a steep down slope in employment. Many of the loss in jobs were direct, For example, residential construction saw a loss in 2.9 million jobs alone. There were also indirect losses such as in production of intermediate goods like carpets, toilets, counter tops, and construction equipment. Since there were no houses being built there were no need for these intermediate goods.