But when the market values slipped and the appreciation never came, folks been unprofitable on the rentals and it resulted in losing on their private houses also, due to the home equity loans we talked about above. The only ones still sure to make money? The banks.

Now, that people have spent all of their savings in their houses and they owe more than the home could be sold for, many householders are letting the house go back to the bank...in foreclosure. As many repossessions as there are, it's still a tiny p.c. of the total market. Because it is a tiny %, the banks can "dump" the houses for half of what what would be the real worth. This further devalues the market price of the other houses that are for sale. It's peanuts to the banks, but to the other owners out there that must sell for one reason or another - it's devastating.

Worst part, when the crisis hit, the governing body instituted programs to bail out whom?