I read the WSJ story. The specific examples of foreclosures are of people who apparently were led by lenders into house purchases that were beyond their means. When the first bump in their road occured -- job loss or other financial problem -- they lost their houses. I got to thinking about the question you ask. For the more general case of people who weren't put into untenable mortgages there might be a different clue. I think that evidence of a popping housing bubble might be foreshadowed by a rise in credit card delinquencies. People will keep making house payments while the credit card debt piles up, then default on the mortgage at the end.
Gene Coyle. Michael Perelman wrote: > The Wall St. Journal reported yesterday that forclosures are at record > levels; and the delinquincy rates are also high. Could this be a > harbinger of a popping bubble? > -- > Michael Perelman > Economics Department > California State University > Chico, CA 95929 > > Tel. 530-898-5321 > E-Mail [EMAIL PROTECTED]
