[quote=CONCHO]SD Realtor is right. Who do you think is going to come out ahead?
1) Banks
2) Homedebtors in over their heads
3) Prudent savers waiting for that $500K house on 1/4 acre in Del Mar
My money is on a full bailout of #1 (after all the small players have been gobbled up by the big boys) with a few scraps (refis, renegotiating mortgage amounts, etc…) tossed to #2. #3 is such a small minority that they’re not even worth considering, at least in the government’s eyes. Their savings will be wiped out by inflation from all the bailout money.
As for what to do, don’t ask me, I don’t have a freaking clue. You can do what I did, find a house you can afford, buy it and wait for the apocalypse.[/quote]
Exactly, #3 isn’t going to happen. We’ve already seen it, the Government will do anything to keep people in the homes such that the squater gets to be #3 with #3 paying for the squaters home. It’s simple, the squaters are 80% of the population, the #3’s are about 10% of the population, the other 10% own everything and are essentially group #1.
