The housing bubble was caused in part by the government convincing banks to make loans to people who could not afford to pay them back. The government thinks everyone should own a house. Everyone who has the ability to actually repay a loan should have an opportunity to own a home.
Ironically, and I'm sure you're unaware of it, under a laissez-faire (sometimes called the free market) system, banks would never have made these bad loans because the government would not have cajoled banks into making them and certainly wouldn't have guaranteed them.
A truly free market would have prevented any of this from ever happening.