Housed and Fed

Im sitting at a housing conference this week and something keeps me thinking. The housing crisis is being fixed with an increase to inventory. Tax credits are being given to help incentivize lenders into making the jump on workforce housing. Housing that at this point is for everyone not worth millions. With this housing we have extra loans and grants that help with down-payment assistance. So my thought is this, if we compound loans on people they will have no equity or actual investment in their own home. Now we continue to build the inventory. What happens when the inventor outweighs a dying populace and those with multiple loans have their house depreciate in value because the market is oversaturated? They will now be underwater on their mortgage because they didnt have any equity to start with, very similar to the 2008 crash that had low interest ARMs, this crash would be caused by a compounding of loans. This all caused by the same generations of people that can buy the homes and continue to make the policy. The problem is scary because the market crash will destroy the US as we know it. A major crash would be bad in a world with no real ownership. The answer isnt to slow the market however its to increase the equity and we are far from doing so. Consumers, which we all, are needed to consume and we need to do so with our own cash. Or credit and borrowed debt will be all we have and that will be to our downfall. Im scared of the future and scared for my country. In a world run by debt and the greedy.