In order to compare the magnitude of losses between the last spike and the potential losses from the current one you’d have to be able to figure out what’s at risk here. Every time someone tries to take a tenative swing at quantifying the number of at-risk borrowers the figures seem to be so high that nobody can take them seriously.
In short, it’s so high it can’t be real.
I had to laugh the other day. I was reading a thread over on BrokerOutpost.coms’s Mortgage Grapevine. A couple of these mortgage brokers were speculating that the federal government would step in and prevent the collapse of the housing market. NOT. Even if the feds wanted to they don’t have near enough money to do it.
