Bye Bye Banks and Wall Street

wendybeth · 09-29-2008, 01:32 PM

Anyone who tapped into their equity over the past few years- with the thought that their homes were actually worth what the previous market stated- are gonna be in a world of hurt right now. You're in upside-down on your house, which is the average American's main asset. You now owe more than your house is worth, and God help you if you're on an ARM, or have a balloon payment coming up. (There will be no borrowing on the equity to meet that payment). California is probably going to be hit especially hard- this is where Morri can step in and offer her expertise, as I am not as familiar with that market. Construction is way down, which means a lot of people are going to be out of work, etc. It's a domino effect- sooner or later it will hit pretty much everyone in the pocketbook.

09-29-2008, 01:32 PM	#11
wendybeth Nevermind Join Date: Jan 2005 Posts: 7,847	Anyone who tapped into their equity over the past few years- with the thought that their homes were actually worth what the previous market stated- are gonna be in a world of hurt right now. You're in upside-down on your house, which is the average American's main asset. You now owe more than your house is worth, and God help you if you're on an ARM, or have a balloon payment coming up. (There will be no borrowing on the equity to meet that payment). California is probably going to be hit especially hard- this is where Morri can step in and offer her expertise, as I am not as familiar with that market. Construction is way down, which means a lot of people are going to be out of work, etc. It's a domino effect- sooner or later it will hit pretty much everyone in the pocketbook. __________________
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