The Housing Market Boom to Loan Modifications

Sphere: Related Content A typical story of a family who went from living the high life during the mortgage boom to having virtually nothing. For example, a family I know went from owning a home that was worth $795k until the beginning of 2007 to it being worth almost $550k in 2008. Property was foreclosed before they learned about loan modifications.

My concern is that loan modifications may contribute to something even worse than the housing bubble burst. As a society, we have all contributed to what is currently going on. I know I'm not innocent either, because I have been in the real estate and mortgage industry for quite a while now and I still continue to try to "help out" homeowners.

According to Henry Louis Mencken famous quote, "economic independence is the foundation of the only sort of freedom worth a damn." He was one of the rare figures in history who did not support the market deals that were going on around him. Therefore, he always had his wealth even through the Depression. Unfortunately, society felt no need for his services because of it.