After increasing for the seventh consecutive week, the 30-year mortgage rates recently topped 5%. These higher rates, combined with the massive increase in home prices in the past 18 months, have some market pundits comparing the current housing market with the end of the last housing boom in 2007 and predicting an impending 2008-style crash.

I understand that fear is a popular motivator, but the comparison is more than just a modest stretch.

Economic fundamentals matter and the fundamentals of the housing market are completely different than they were during the last boom. In 2007, despite a run up in prices, homeowners had a record low percentage of equity in their homes, as many homeowners repeatedly did “cash out” refinances, using their increased equity value as a personal ATM.

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