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Austrolib

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  • Aspen Group: How To Profit From The Federal Student Loan Collapse [View article]
    DRIx -

    You're correct, partially. Total mortgage debt outstanding in 2009 was $11T. http://1.usa.gov/M5hi9z

    However, the relevant amount is that number minus the real value of the homes, or in other words the degree to which that mortgage debt was inflated on top of the real market value, which may be a little more than half that, say $7T.

    In the case of education, if the degree doesn't get you a job, it's not worth anything other than sentimental personal "experience" value, unlike a house which is always worth something.

    So yes, total mortgage debt outstanding is still bigger than the student debt bubble is now, dollar for dollar. That doesn't change the fact that the latter will still pop, and soon.
    Jun 19 07:14 AM | Likes Like |Link to Comment
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