– steep drop in consumer spending causing massive layoffs in turn causing even more foreclosures
– vanishing of 30% Real Estate related jobs (has already started in full force)
– ARMs resetting like no tommorow spawning foreclosures
– Tightening of lending standards shutting out buyers and refinance applicants
– Increasing cost of gasoline/energy pressuring budgets
– Increasing interest rates – Fed will HAVE to raise rates to counter fall of the dollar caused by foreigners dumping their US debt instruments.