Not only silly, but dangerous for society as a whole. It’s to everyone’s benefit to limit the losses only to those people who cannot pay their mortgages. Encouraging otherwise viable borrowers to walk away just so they can keep their toys and SUVs is sending the wrong message. That is the opposite of accepting responsibility for your personal decisions.
The prices will correct on their own just based on the unqualified borrowers. There’s no good reason to encourage everyone who’s even moderately distressed to walk away.
