The Buyers / House of Cards

Cynthia Simons craved a better life for her family and wanted to leave the crime-ridden area of Compton, Ca. She thought her prayers were answered by a mortgage broker from her church who found the family a house in a safe neighborhood.

Lou Pacific worked for Quick Loan Funding. The company targeted people who couldn't afford a down payment and had poor credit…so-called "sub-prime borrowers." With no shortage of eager borrowers, business was booming and Quick Loan made millions of dollars.

In a rare interview, CNBC's David Faber speaks with one of the few savvy investors who bet against the mortgage-backed security fever – Dallas's Kyle Bass - whose hedge fund soared 600% in just eighteen months.

Former Federal Reserve Chairman Alan Greenspan defends decisions he made that critics say laid the groundwork for the crisis. Greenspan also admits that he was puzzled by the more complex mortgage-backed securities on the market.