Why You Should Hate the Treasury Bailout Proposal

A question I have though is how could the foreclosure of homes have this much of an impact? Doesn;t this go far beyond any mortgage crisis? The default rate is still relatively low - although much higher than normal.
Can a foreclosure rate of 3% or so cause the need for over $1 trillion in bailouts?
Or does the "crisis" come from the fact that investors don;t want to invest money with people who can be so stupid as to buy these mortgage backed securities?
Or is it something else entirely?