Your house and the 30-year fixed-rate mortgage on it is a financial product too, and a fairly complex and risky one at that. This fact is just well-hidden from you by nested layers of government subsidies.

There is basically no way for real estate to not be a complex financial product, because almost no one can pay cash-up-front for it. If it wasn't financialized, nobody could ever afford to own anything and we'd all be feudal serfs renting from a couple landlords.

Sure we could do a better job of it though. Local banks used to be core community helpers. Now it’s just JPM branch after JPM branch.

Or we would live in unregulated slums...

Not that whole sector isn't over financialised.