Quote:
Originally Posted by pauldun170
Unfortunately a big chunk of foreclosures nowadays are by folks who, at the time of signing were solid candidates for the mortgage they got into.
As they say...shit happens.
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It sure doesn't seem that way down here. That impression isn't helped by practically every short-sale/foreclosure house I've been in being completely destroyed. That includes a scary number of houses that were lived in less than a year or two.
What really makes me nervous about the real estate market is the current record number of foreclosures even with interest rates at historical lows. I am increasingly incredulous about the claim there has basically been no inflation over the past 2 years. What is going to happen with all the ARMs that are currently in good standing once interest rates increase by 4%+? I foresee bad stuff coming down the road.
While "Wall St." is starting to claim profits again, I believe there are a whole lot more write-offs coming for supposedly "good" mortgages when they do go bad.