Early Retirement & Financial Independence Community - View Single Post - Do you want to pay for the Sub-Prime freeze?

twaddle · 12-19-2007, 02:26 PM

It's a nationwide problem, but it's concentrated on the coasts. It's not just people who bought homes -- a lot of them simply refi'd at the top of the bubble.

As prices drop, more and more of them are underwater with negative equity. If we get a 30% drop in prices, I've read that 20 million homeowners could be underwater.

http://www.nytimes.com/2007/12/14/op...hp&oref=slogin

12-19-2007, 02:26 PM	#264
twaddle Thinks s/he gets paid by the post Join Date: Jun 2006 Posts: 1,377	It's a nationwide problem, but it's concentrated on the coasts. It's not just people who bought homes -- a lot of them simply refi'd at the top of the bubble. As prices drop, more and more of them are underwater with negative equity. If we get a 30% drop in prices, I've read that 20 million homeowners could be underwater. http://www.nytimes.com/2007/12/14/op...hp&oref=slogin __________________ Favorite ERF quote: "I'm not going to waste my time on someone who's more interested in being stubborn or obtuse or intolerant." -- Nords Favorite ERF error message: "Sorry Nords is a moderator/admin and you are not allowed to ignore him or her."