I've been harping about the dead securitization market for a loooong time. First here; latest here. Many in-between. But, it keeps surfacing. And, imo, it's important. No one seems to -get- that
- Banks don't lend, they originate and sell, and
- Since the only buyers of home loans is/are the GSE's (Fannie, etc), the housing market is dead, but for the government.
- So, this recession or depression, or whatever, is really serious. Life as we know it is gone, but for some government support which is probably unsustainable