It's always interesting to see what some "seasoned" players have to say. Here's a fellow who's been there, done that for quite some time.

Today people are certain real estate will continue to appreciate. That's why they foresee little risk in property loans at 100% of cost. I believe they are mistaken, terribly mistaken. The possible washout from this herd inspired mania in properties will reverberate for many years. The U.S. economy will be exposed for what it is, a debt driven illusion of strength. Unfortunately, consumers will be financially damaged.

Again, if you're being prudent and can handle your particular real estate situation a lot of this is theoretical. But there are many, many folks that are operating on a high wire without a net when it comes to home buying. That's the segment that could take real hit.