SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Politics : American Presidential Politics and foreign affairs
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: TimF who wrote (44653)8/4/2010 9:14:45 AM
From: DuckTapeSunroof  Read Replies (1) of 71588
 
Re: [So... her argument (after examining the same data) is that "the rich" ARE defaulting at a higher rate than the general population is --- but that there is no real way to tell if those are predominantly "strategic defaults]

"No."
-----------------------------------------------

Yes, Tim.

(You missed it on this one....)

That IS WHAT the article you posted flat-out SAYS.

I suggest that you go back and read it more carefully this time.

See:

"It's not that I think that it is necessarily untrue that the wealthy are more likely to default on mortgages that they could pay. Indeed, I think it is probably almost definitionally true, at least the way I think of strategic default."

And:

"What we know from the article is that a lot of the high-dollar value loans are in default:"

More than one in seven homeowners with loans in excess of a million dollars are seriously delinquent, according to data compiled for The New York Times by the real estate analytics firm CoreLogic.

And she ACCEPTS the CoreLogic data (which shows higher incidence of default among the wealthy then among the general population):

"The CoreLogic data tell you how many people are in default."

(While merely arguing that the data --- ALTHOUGH CLEARLY SHOWING A HIGHER DEFAULT RATE AMONG THE WEALTHY --- does not contain the types of facts that would be necessary to establish whether these defaults were "strategic", i.e. voluntary, or not. Nevertheless she *accepts* that they show a much higher default rate....)

In fact, she even states that (although no way to prove it yet) she herself SUSPECTS that the wealthy DO STRATEGICALLY DEFAULT at a higher rate:

"And I still think it's more likely than not that the wealthy are leading whatever trend their may be in strategic defaults."

theatlantic.com
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News