Apparently things are starting to get verrryyy interesting

From the article…

“CRL’s research suggests that risky lending practices have triggered the worst foreclosure crisis in the modern mortgage market, projecting that one out of five (19.4%) subprime loans issued during 2005-2006 will fail.”

I subtitle of this article states that “billions of minority wealth will be lost”

I always ask myself, was it really wealth if it was never realized by the sale or other disposition of the property?

I owned a hotel for a while that appraised at twice what my group bought it for. I tried to sell it and essentially sold it for that price (50% of appraisal). Does that mean I lost all that money, even when my balance sheet showed no net gain or loss.

(if your following me i sold it for the price i bought it for, no matter what the appraisal said)

good point. equity is only an illusion until you can put it in your wallet.

I know a lender who says equity is a zero percentage rate of return.