Where does Mr. Mortgage come up with his numbers? 40% of all homes in this country are owned outright, they have no mortgage. The number is lower out here in the West, 35%. Using the numbers he quotes, every California mortgage is underwater and every Nevada mortgage is underwater plus many of those who own outright are underwater? I think he either said or meant to say something to the effect of those homes with mortgages a percentage are underwater or of those bought within the last five years that have a mortgage are underwater. It is misleading to say that all homes with a mortgage are underwater.

Purely based on IRS data, income earners over 100k took the mortgage interest deduction 7 times that of earners under 50k. That 2% of increased unemployment is more likely from the lower echelon and not th higher. I’ll bet the majority of those who got pink slips weren’t paying mortgages anyway.