The Grim Future of Real Estate?

Here is a story that we will see repeatedly over the next few years, entire neighborhoods blighted by foreclosures.

In this case, you have half million dollar homes that people have simply walked away from, and police have to patrol in order to prevent squatters. There are swimming pools that have moved from assets to West Nile and Malaria infested health risks.

We are going to see a lot of this, and a lot of people trapped in their homes because the entire neighborhood is illiquid, because no one wants to live there at any price.

Pleasant picture this.

Luckily, I live in an old neighborhood, built in the 1960s, so we won't see as many exotic mortgages, and hence foreclosures.