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Other than those, though, I see no reason why an easy scale can't be made and the disposals be made orderly.

I know the CDOs are complicated. But I think the feds should be able to break them up by loan. They should not buy them whole, because without unwinding them, the government is going to get killed.

We should first be buying the mortgages that are 30-year-fixed where there are foreclosures, and we should buy them by the most hard-hit geographies where the pull down is endless -- Florida and California. We have to keep those people in their homes. Then I would do the teaser-type loans. And only then would I do pick-and-pay exotics.

I would put more effort into getting certain ZIP codes to bottom so that we can stop the reeling in major metropolitan areas. That's where the issue is, because 60% of these loans are in just a couple of places.

Why do I think this deal will make us money? Because those areas represent great value already, but we can't bring the values out as long as the foreclosures never end.

There are only certain kinds of mortgages and certain kinds of vintages and certain ZIP codes and certain geographies. The notion that this is "too difficult" to do, too hard to value, and too confusing is nonsense. But the feds must be able to bust the CDOs and unwind the tranches, or they will be scalded. NO HELOC!

Random musings: The Fannie (FNM Quote) and Freddie (FRE Quote) trade continues as a way to play the improvement of the portfolios of the two of them.

At the time of publication, Cramer had no positions in the stocks mentioned.