The End of the World...As We Knew It

[Tracy]

Yikes.

http://realestateandhousing2.blogspot.c ... ew-it.html

[MacUser]

Tracy, I'll admit that I have not read it all..

But what gets me is that we somehow CAN'T allow the system to work itself out. We CAN'T let the people default on these flaky mortgages (they move into parents or RENT), let the house be put back on the market and be SUBJECT to CURRENT devalued pricing. Bingo - Great Deal for investor.

If we constantly are not allowed to let it FAIL.. then the free market will be unable to correct itself.

We are going to HAVE to let these failed business models FAIL. These unside down mortgages FAIL.. before any recovery begins.

[Tracy]

We are going to HAVE to let these failed business models FAIL. These unside down mortgages FAIL.. before any recovery begins.

I agree. But I think that the powers that be will secure themselves at the expense of the rest of us before that happens. I think it will happen, because I don't think anything can be done to stop it; but the elite few will makes things worse first, as they take care of themselves. Then they can let the rest of us drown in their mess.

I hope I am wrong.

Like the article said: stock your pantry, grow a garden, and buy guns and ammo.