mr_subprime

Negative Equity the Driving Force Behind Subprime Defaults

I don't think there are nearly as many people walking away from "negative equity" situations as there are families being foreclosed on. Guys like me with commission only income are dealing with a 10-20% decline in earnings. We are now making choices: Life insurance or car insurance?$1500 mortgage or $995 rent? It seems pretty easy on the outside looking in, but anyone who bought a home to provide shelter for their family in a neighborhood fit to raise their children isn't walking because they are "underwater". They're leaving because they are "DROWNING". These folks are being forced out by the lenders (escalating payments and foreclosure) or by the fact that they simply can't afford to own the home and feed their family, too. "Judge not, and ye shall not be judged"