Almost 10,000 U.S. banks went bankrupt and the unemployment rate surpassed 25%.

He's been personally bankrupt.

If a bunch of banks and even insurance companies go bankrupt someone else will pick up their assets.  

As a consequence, cities are running larger deficits and going bankrupt and the citizens in those Cities are paying higher taxes in support of amenities shared with the subdivisions (schools, arenas, etc).The initial attempt to address this imbalance of tax-base to services was an accelerating trend towards amalgamation of bedroom communities that we have seen over the past 20-years.

After seeing how prices reset and watching a lot of major players around here end up bankrupt we switched to cash.

We are beyond being concerned about a potential recession, other than that it may offer the potential for another buying spree.During the early 2000-2010 RE debacle a family member would send us weekly doom & gloom emails confirming his 'internet fueled conviction' that my wife & I would go bankrupt during the impending crash of the late 2000's.

Another large landlord I know went bankrupt as he was mostly market tenants and in the last downturn they couldn't pay their rent. 

Empathy = charity = bankrupt.

Problem is if they keep making those negative value bets eventually the "genius" becomes the bankrupt even more so since these geniuses will tend to start to believe in their genius and make larger more frequent bets with other people's money.  

Realty Mogul recently had two borrowers going bankrupt and it took a year for investors to get their principals back and they got almost no interest.