I too played by the rules. Other than my mortgage, I have almost no debt (except credit card that always gets paid off before month-end). According to my last credit report, my debt to income ratio is about 10% and that includes the mortgage. I’ve never been late and I am not underwater. Will I get a principal reduction? I don’t feel I really need it, but if I don’t, what does it mean when the people who were careful and played by the rules are forced to subsidize those who went ponzi?
As for the tsunami, here’s one for you: As I wrote elsewhere, I’m looking for a 2,500 to 3,000 sqft house in 4S. Well, according to RealtyTrac, there are a whole bunch of such houses with auction dates from Dec 2011 to Feb 2012. Presumably these will hit the MLS in the next few months, right? Would that not qualify as at least a small and local tsunami? 🙂
