I don’t see how The Fed could possibly get those MBS off their balance sheet without crashing everything and/or having to put them straight back on there.
For them and the rest of the parasite class, wiping out the equity in Real Estate isnt an option - it’s political suicide, a generation+ out of power. Not just the whinging Boomers revolting, but everything else that blows up downstream means no-one will trust them and you’ll get a violent pendulum swing left or right depending on who oversaw the bust.
The only way out is through - print to the moon.
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I intransigently refuse to believe that government intervention is ever the solution.