This fella in Los Angeles is suggesting walking away from his debt and screw the banks. Some reckon it’s an intelligent detached decision, others think he’s a spineless louse “spoiling it for the rest of us”.
People in California and LA in particular are just crazy,
It’s not called the fruit and nut state for nothing
I know someone answered this before in another thread but what’s the deal on “dropping the keys through the letter box” & fecking off in Ireland?
The VI spin is already turning to “what does it matter a little negative equity, sure its the place you live” translation: Keep paying yout mortgage on that shoebox you bought with 100%+ mortgage spread over the next 35 years.
What happens in 2009/2010 when the reality of mass unemployment is over us?
If you’ve got a 100% mortgage plus credit card and motor car payments are you really going to fell inclined to keep up payments for the next 35 years?
It’s more tempting to torch the place and walk away if you get to that state.
We will not have ‘Mass unemployment’ in 2010. We’ll have 8/9% unemployment, with our old favourites of the boat and the plane (V. cheap now compared to last time we needed them)
But LOTS of people will have walked away by then. Many of them will have been away before, returned home and have become accidental landlords, only to find the new paradigm not quite so new as they thought…
They will typically be those who bought a second property, following the crowd, Interest only. This is a big cohort.
The € will be strong, and the temptation to liquidate and leave will be high. The destinations will be the same as they always were.
That will leave us with…
What They leave us with…
Empty, Bank owned Real Estate that nobody wants. This will be self perpetuating, a bubble deflating and leaving less people behind to pick up the pieces.
It’s only a part of the puzzle. Significant though.
I’m no legal expert and am open to correction but does the statute of limitations not mean that they can’t prosecute you 6 years after the fact. They can try you in abstentia and the conviction and or judgement will linger forever?
Hang on a cotton picking minute - we are talking about Civil and NOT Criminal proceedings here. Talk of ‘prosecute’, ‘crimes’ and ‘haebus corpus’ DOES NOT APPLY. The only possible criminal element is if you breach a Court order. However, if they could not serve a summons on you within 12 months of commencing proceedings because they cannot find you, then they are shit out of luck. If no summons is served the Courts cannot make an Order against you!