As an example, and I don't have the actual numbers, let's imagine that 15% of ARMs in San Diego are resetting this year, and 13% defaulted. That is almost a 100% default rate.
That's quite an imagination – I haven't seen any data suggesting default rates anywhere near 100%.
While I too believe reseting ARMs will be a problem in the next couple of years, suggesting 90% defaut rates without any actual data to support your position makes you appear to be an alarmist.
Love your posts PS, but when you make these type of predicitons based off of a "let's imagine" data set, you're no different than the cheerleaders on the other side arguing that a soft landing is in order.
