Kind of along the lines of what DaCounselor and Drunkle are saying I agree that there will be some serious loan modification going on. What I fear is that this could bring about the new dominance of a 50 year mortgage. If that type of instrument becomes commonplace then the affordability of homes will not likely revert back to what it normally is during 30 year fixed dominance with fundamentally based rate. It could in the end become the most common instrument causing less affordability and more people becoming commonly enslaved to a home. Who would have thought 10-20 years ago that there would be a 7 or 8 year auto loan term and the ability to roll old loans into new ones? That kind of stuff freaks me out but it is extremely common and doesn’t help to bring auto prices down.