The Rich are walking away from their mortgages in record numbers. More than 1 in 7 homeowners with a mortgage of over $1,000,000.00 are seriously delinquent, while the numbers of delinquencies on mortgages under $1,000,000.00 is just 1 in 12.
1 in 7?
1 in 12?
And there seems to be no end in sight to that part of the problem.
But tight money in the mortgage markets is not helping. Mortgage rates are at record lows yet the problems remain.
Did anyone ever imagine that interest rates could be at close to or below 4% and people would not be lined up to refinance or buy a new home?
And with all of the foreclosures and short sales, home prices have come down, yet when the $8000.00 tax credit for homebuyers expired on April 30, 2010, new single family home sales decreased 32.74% in May.
No light at the end of the tunnel for housing yet…..