People always seem to forget that homebuyers amd investors were also are guilty of FOMOing into buying property, leveraging up on their bets, taking loans they had absolutely no business taking out, buying houses they knew they couldn't afford.

This wasn't solely a government or bank thing. What made this work was that everyone was able to pass the risk down to the next party in line because the mortgage credit rating system was fucked (someone rated risky surprime loans as safe as the traditional mortgage because the thought was that everyone pays their mortgage, historically)