[mynewwork]

It didn't have to go anywhere, and in many cases it didn't. Imagine you have a house (500k) and a car(20k) in 2007. Today you still have the same house (now valued at 400k) the same car (now valued at 10k). Your net worth has dropped substantially but the money didn't go anywhere, nobody else gained by the depreciation of your car or the market price correction of your house.

[eyeareque]

I'm assuming that people who lost their homes lost their equity. I'd assume there was a transfer of wealth in those situations.