Where will all these defaulting homeowners live? They’ll need cash to move and make a downpayment on an apartment or house. The moving and downpayment can easily come to $4K. That’s a lot of spare cash, that most don’t have at foreclosure. Is the rental vacancy rate high enough to absorb thousands of new families? Will this push up the rental rates? What happened during the last housing bust to the rental market? Were any one you around to see?
