Debt By State

Below is a chart showing how debt levels vary between different U.S. states. States with relatively low house prices like Michigan, Ohio and Texas have relatively low debt level while high price California has a very high debt level. And do note the really dramatic increase and decrease in Nevada.

The causal connection between debt and house prices runs both ways. Easy access to debt and low price (interest rate) on it helps bid up house prices, but it is also the case that if for example building restrictions causes house prices to be artificially high, this will prompt people to take on more debt.