posted on Dec, 17 2009 @ 09:17 PM
great thread. remember, however, that there were a lot of new houses that were built for speculative investment purposes by "flippers" - investors
that would have the house built with no money down, no payments (ever), and try to sell the house for a quick profit. there are whole subdivisions of
these crappy speculative investment houses. so no one is really getting hurt in these situations.
now, certainly, there are people that have lost jobs that are facing foreclosure. good honest people. and i do feel sympathy for them.
but not the speculators. or the people that wanted that nice, "second home" in some exotic beach in florida. sorry, charlie. i don't have a lot
of empathy for speculative investors that lost their shirt in the gold rush real estate boom years.
so keep these numbers in perspective. not all of these houses are really owner-occupied. there was a ton of mortgage fraud going on, and a lot of
people that were taking advantage of the loose money. sometimes builders were on the take, sometimes working in collusion with mortgage brokers usign
straw buyers and liars loans, etc. building dirt cheap houses and collecting big bucks from the construction loan from the bank, and the straw buyer
walked and never paid a dime. some of the houses were funded and never even built - the mortgage broker doctored up the paperwork. the bank was left
holding the bag, and trying to clean the mess up.
lots of bad stuff out there, and it is gonna take a long, long time to fix. and don't count on anyone to have any clear cut plan to make the
necessary changes. we'll be living in this twilight zone in real estate for many years to come.