How is the credit bubble affecting your city?

[FIREdreamer]

I have noticed something new in my mid-size, southern city in the past month or so. Red "for sale at auction" signs in front of foreclosed houses are popping up all over the place (even in good neighborhoods), houses are sitting for months and months on the market (even in good school districts), stores don't seem to be as busy as they used to (many stores have closed recently)... What's more, I start seeing people trying the sell their luxury cars (newer SUVs, lexuses, jags, maybe 2-3 years old tops) on their own. They park them on their lawn with "for sale" signs... I've seen people do that before with old beaters, but not with perfectly good looking, luxury cars.
The curious thing is that my town has a vibrant economy, fairly high wages (due to a highly qualified work force), low cost of living, very low unemployment and a large number of newcomers every year which helps the city grow at a good pace. The RE market is supposedly healthy (if you talk to realtors) but it does not feel this way. So even though I live in a city with a healthy economy, in the past few months, I have seen signs that more and more people are heel over their heads with debt.
Do you see the same thing where you live?