Thats very revisionist. Lets take an average middle class person pre boom: You are urged to take out a mortgage against your property because "House prices ha

Thats very revisionist. Lets take an average middle class person pre boom: You are urged to take out a mortgage against your property because "House prices have only gone up!". Your banks are giving you great rates, "you'd be an idiot to not take them. We're giving it out to people with No Income, No Job or Assets! We made the cover of Time with the way prices are going up!" Everything is rosy, and you would be remiss and getting behind if you didn't take care of your future. This is what people faced. Do note - the Middle class isn't the one responsible for manipulating the banking system or creating exotics to over leverage a housing bubble. Nor are they the ones who are meant to be the educated sophisticated investors. Further the root of the issue, the housing bubble, required banks to actively sell their products, all the while telling average people that its all turning out great! In essence: the Banks were derelict in their duty to be wary of leverage, and abused the information asymmetry they enjoyed to convince customers to "Just get a mortgage! You can get that new kitchen you always wanted". I'd say the middle class got played.