Duncan Black:

I’m not sure how anyone expects “the housing market” to “recover” when buying a house now involves handing a bunch of money over to a bank which will then proceed to steal your house from you.

This behavior will continue until lots of people go to jail. And that, apparently, is off the table.

This is probably the most succinct description of the problems in housing now, both in terms of recovery and stopping the foreclosure crisis from continuing for another three to five years.