Deducer,
I am intimately familiar with what lead to the real estate crash and the equally stupid Dodd Frank legislation that followed. I can (and may) write a book exposing the truth of what happened.
George Bush and company had little to nothing to do with it. Although they did enjoy the propped up false economy in its hay day. Look to Bill Clinton and Barney Frank for your top sources. This is the frame work that made legalized thievery of the less fortunate a global enterprise. Bill and Barney are just the big names but they are far from alone in making the situation possible.
In the lending industry there is A paper (prime), B paper (average) and C & D paper. I forbid my sales personnel from chasing C & D paper. And we made good money and enjoyed top market shares without it. I told everyone that would listen and forced many to face the unfaceable. To no avail. They were in too deep to turn back.
But that didn't keep my independent agents from working that business. When they failed, I as principal, got literally truck loads of files with C & D paper to work through and make some sort of sense out of. Usually with State insurance commissioners and regulations breathing down my back. Within those files were the HUD-1 settlement statements showing the charges collected and rolled into the loans. The propped up appraisals and justifications. It was probably the most heartbreaking experience of my career.
The rape and pillage of our most vulnerable was truly a sin. And practiced by hoards of "real estate professionals" at all levels. Scum of the earth. Not just the banks, Banks were the cows tail in the deal and lightweights in the act. Why folks didn't go to jail is a mystery to me. Although it would have exposed the real reasons that set up the practices that legalized out and out thief and left our securities worthless. As wells as wreaked the very fiber of our middle class net worth.
And; to make matters worse......for all the huff and puff of Dodd/Frank and its ginormous regulations that do nothing to provide real safety and do much to set up feel good but useless regulations, the practices are coming back strong. I see it every day gradually raising its ugly head. Those profit margins are just too good to resist.
So......go ahead and tell me all about the financial crisis. I got time.