Like mass home ownership? As usual, your comment is insightful and I suspect this one is deeper than it first seems.
Its funny the irony, of having social programs of subprime loans to give the poor man a chance at owning a home feeds the pockets of rich fat cats on wall street.
isn't the converse also true. what happens then. the risk and higher repayments is just made on the other end of the market cycle. correct?
Yes, that's how it works (or at least worked with I lived there). It's a bond and if you want to refinance, you need to buy the old bond back at whatever price is the market at that time. so as e.g. rates go down the price of your existing bond goes up, and you'll have to pay more to refinance. That's how bonds work, but it can make it harder to refinance.