biz.yahoo.com/prnews/061219/dctu021.html?.v=78
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.