Those zero-down liar's loan failed housing gamblers sure are a funny bunch. Too bad for the bag-holders and too bad for anyone who thought 2005 home values were anywhere near reality.
Debt-Laden Homeowners Save the Credit Card Before the House
NEW YORK (AP) -- Conventional wisdom has it that people will do everything to keep their homes. Not any more.
The proliferation of no-money-down home loans over the past few years, coupled with the current housing downturn, is giving rise to a new mentality: People will risk losing their homes while doing everything to keep their credit cards.
"This is the biggest surprise we're seeing," said Elizabeth Schomburg, senior vice president of the Family Credit Counseling Service in Chicago. "People are actually coming to us with situations where they are current on their credit cards but are in foreclosure."