Thursday, February 28, 2008

1/3 of the Country Underwater

There have been many stories about home buyers deciding to walk away from mortgages rather than pay them. In some cases, it's out of distress, in others, it's a purely financial decision.

This statistic blew my mind:

"Goldman Sachs economists estimate that as much as $3 trillion in mortgages could be underwater by the end of the year, leaving 30% of the country's outstanding mortgages in negative equity."

From Borrowers Abandon Mortgages as Prices Drop (You probably can't read it without a paid subscription. Sorry).

No comments: