portfolio victims, page-8

Human nature is such in some people, that when things start to go bad, they stop paying bills. This is true also for those who are heading or have headed into negative equity I suspect.

No fun to keep paying the mortgage on a losing bet, that leaves a bad taste in your mouth when you think you are paying the bank for an amount of money borrowed that is more than the value of the house.

Of course this would be a minority, the majority would keep paying up, but this will result in an increase in defaults and foreclosures IMO over the next couple of years.