Have you ever considered that this might tie some homeowners to a house that they might not even want in the future?
Some of the benefactors of this bailout might have walked away and are potentially going to be stuck in a depreciating asset. The psychology swings both ways.
Prices will depreciate for the next 5-7 years IMO. The lesson learned for many of these homeowners will be that you cannot renegotiate the purchase price. That is not a happy scenario…the thought that you have overpaid for a six-figure investment by 30-50 percent!
