The 80 million homes that are owned in the US, are selling for pennies on the dollar and are underwater? Quite the opposite, only 8% of home owners are underwater, and that's a drastic improvement vs the peak of the real estate collapse. Total home value in the US is near all time record highs, and home equity has skyrocketed the last three years.

Home equity has climbed by $4+ trillion in just the last 2.5 years, an increase of 64%; from $6.7 trillion in the first quarter of 2012, to roughly $11 trillion today.

Home owners have benefited massively from the Fed bailout, via low mortgage rates and cheap refinancing. Home owners have gained probably $8 trillion since the bottom, across essentially every market in the US.