What the OP’s article is

[Rt.66]

What the OP’s article is missing is that its neg-am “recasts” not interest rate “resets” that is the big problem. California is ground zero for this painfest.

The Truth about Option ARMs, Pick-a-Pay Mortgages, and Alt-A Loans: Looking at Wells Fargo, Bank of America, and JP Morgan. We are in the Eye of the $469 Billion Toxic Mortgage Hurricane and Silence is not Golden.

But if you are trying to sell houses then you need to at least try and make it look as though now is a good time to buy. To do that you need to convince people things won’t be getting worse in 2010 and beyond.