OK, let’s do the math:
300,000- (bought house in 2001)
500,000+ (refinance and doubtless MEW)
75,000- (spent on refurb)
I’d say they made out like bandits. Gee, I wonder what kind of cars they drive? His- and- hers Hummers? How apropos she’s holding a cuppa Starbux.
Eat dessert first, life is uncertain.
And these are the sort of people who the US gummint wants to bailout?
There is an estimate floating around that 8.8 MILLION homeowners are upside down, Probably not as bad as these maroons, but still, if that number is in the ballpark, then that’s a serious black hole sucking the wealth out of the pockets of the middle and lower class
The people referred to in this article- “Pinnegar said he hears often that novice investors are holding on to their homes and renting them out, hoping for a better market in a few years” – have dying the death of a thousand cuts to look forward to. If they’re smart they’ll walk away, cut their losses, take the hit to their credit(debt) rating. If they’re not…
Q: “When do you make the decision to say we have to cut our losses?”