The title is complete BS. I imagine it’s designed to comfort those who have foolishly gotten in over their heads on both sides of the loan application.
Everything but the title of this article indicates banks and owners are going to get hit hard.
“”Banks don’t want to be real estate managers,” said Doug Duncan, chief economist of the mortgage association.”
The article then points out the rise in defaults, pointing to an increase in REO’s which will only end up forcing banks to either hold onto Real Estate for a longer time, or lower prices.
How much “forgiveness” can the banks offer, before they have nothing left but a bunch of empty houses?
