So the payment goes up 50% – 100%, the house is worth 10% – 50% less, so even if the guy *could* afford the higher payments, why would he bother? That’s the point, right Perry? If we extend that line of reasoning, what is the decision for anyone who is underwater to decide whether to pay or walk? What if the guy with the $1 mil house is too attached to his house to walk? Maybe he doesn’t want to pull his kids out of school, and he has a good job he doesn’t want to lose. What do you think?
