almost makes me think about just buying one of these when they hit 250k, and then just WALK from my house.
You can’t do that, it’s illegal.
What you can do though, buy one of those when they hit 250k with the intent to make it your primary residence and rent out your older house. Then after a few months of trying to rent it out, you can walk.
P.S.
“Hal Varian (Berkeley prof and now chief economist at Google) puts it simply, and in somewhat exaggerated form, by saying that everyone will just default on their existing mortgage and move one house to the left, buying a new house for less than they save by walking away from the mortgage they have. Things don’t work that smoothly, but that gets the principle right.
And what that means is that a substantial portion of the decline in housing values that’s now in progress will eventually show up as losses, not to homeowners, but to investors. We’re talking about some significant fraction of, say, $6 trillion (a 30% decline in home values from their peak). A trillion dollars in investor losses sounds quite reasonable to me. ”
esmith, what’s illegal with defaulting on your mortgage debt?
If you can’t “afford” it, then you can’t “afford” it. There are plenty of examples of people who buy a new homes and then can’t afford to carry 2 mortgages anymore. They can’t sell so they have to walk from one mortgage.
BTW, I read NYT and Krugman all the time. One of my favorite columnist.
esmith, what’s illegal with defaulting on your mortgage debt?
If you can’t “afford” it, then you can’t “afford” it. There are plenty of examples of people who buy a new homes and then can’t afford to carry 2 mortgages anymore. They can’t sell so they have to walk from one mortgage.
BTW, I read NYT and Krugman all the time. One of my favorite columnist.
esmith, what’s illegal with defaulting on your mortgage debt?
If you can’t “afford” it, then you can’t “afford” it. There are plenty of examples of people who buy a new homes and then can’t afford to carry 2 mortgages anymore. They can’t sell so they have to walk from one mortgage.
BTW, I read NYT and Krugman all the time. One of my favorite columnist.
esmith, what’s illegal with defaulting on your mortgage debt?
If you can’t “afford” it, then you can’t “afford” it. There are plenty of examples of people who buy a new homes and then can’t afford to carry 2 mortgages anymore. They can’t sell so they have to walk from one mortgage.
BTW, I read NYT and Krugman all the time. One of my favorite columnist.
esmith, what’s illegal with defaulting on your mortgage debt?
If you can’t “afford” it, then you can’t “afford” it. There are plenty of examples of people who buy a new homes and then can’t afford to carry 2 mortgages anymore. They can’t sell so they have to walk from one mortgage.
BTW, I read NYT and Krugman all the time. One of my favorite columnist.
Hal Varian (Berkeley prof and now chief economist at Google) puts it simply
That sounds too good to be true: make the banks absorb bubble cost. I bet if people start doing this, the regulations will follow swiftly.
Hal Varian (Berkeley prof and now chief economist at Google) puts it simply
That sounds too good to be true: make the banks absorb bubble cost. I bet if people start doing this, the regulations will follow swiftly.
Hal Varian (Berkeley prof and now chief economist at Google) puts it simply
That sounds too good to be true: make the banks absorb bubble cost. I bet if people start doing this, the regulations will follow swiftly.
Hal Varian (Berkeley prof and now chief economist at Google) puts it simply
That sounds too good to be true: make the banks absorb bubble cost. I bet if people start doing this, the regulations will follow swiftly.
Hal Varian (Berkeley prof and now chief economist at Google) puts it simply
That sounds too good to be true: make the banks absorb bubble cost. I bet if people start doing this, the regulations will follow swiftly.
Nothing illegal with defaulting. Applying for a mortgage on the second house with the intention to foreclose on the first, that’s where things get murky. You certainly shouldn’t tell anyone that that’s what you’re going to do.
Nothing illegal with defaulting. Applying for a mortgage on the second house with the intention to foreclose on the first, that’s where things get murky. You certainly shouldn’t tell anyone that that’s what you’re going to do.
Nothing illegal with defaulting. Applying for a mortgage on the second house with the intention to foreclose on the first, that’s where things get murky. You certainly shouldn’t tell anyone that that’s what you’re going to do.
Nothing illegal with defaulting. Applying for a mortgage on the second house with the intention to foreclose on the first, that’s where things get murky. You certainly shouldn’t tell anyone that that’s what you’re going to do.
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