20% of Mortgages Will Default: 11 Million to Lose Their Homes

Irvine Housing Blog

A new report from Amherst Securities projects that 20% of all mortgages will default and 11 million people will lose their homes.

Is it possible for the housing market to stay wounded permanently? Will prices in Las Vegas fall forever? Will prices reach zero? Will Orange County prices stay high forever? Perhaps if lenders give away homes to the squatters the inventory will never hit the market and prices will not crash.

What does a delinquent squatter do if they want to sell? Oh, wait... since they don't have any equity, there really isn't anything to sell. They really don't own anything other than a big loan and dreams of future equity during the next housing bubble.

A Mammoth One in Five Borrowers Will Default
http://housingstory.net/2010/10/03/a-ma ... #post-4519




Source: http://www.irvinehousingblog.com/blog/c ... eir-homes/