2008-9 was called a housing crisis when it was a banking leverage crisis…
this never got enough coverage: don't forget that it was the gov't via Fannie Mae & Freddie Mac that incentivized it all. the 'housing crisis' was their doing.
and they paid their executives big big bucks, absurd bonuses, to do it. And got away with it. No one seems to know or remember their part in it all.
I've been out of real estate for a while, and don't know if Fannie Mae & Freddie Mac are still insuring mortgages so that banks are encouraged to provide them to people who wouldn't otherwise qualify.
https://www.npr.org/2008/08/28/94057361/fannie-mae-shuffles-top-executives?msclkid=e1a1a492cee811ecbd137a1024e16c87
and if this continues… "The two companies play a critical role in the housing industry by buying mortgages from lenders and then packaging them into securities."
bonuses then were $100's of thousands. everyone involved are a total disgrace.
https://www.cnn.com/2009/BUSINESS/03/18/fannie.bonuses/index.html#:~:text=A%20view%20of%20Fannie%20Mae%20headquarters%20is%20seen,of%20close%20to%20half%20a%20million%20dollars%20each.?msclkid=753cbc8ccee911ec880a2d61164b66d9