Sir, – When is a house a family home? Apparently only when a mortgage is attached. It is with some dismay that I note an increasing view that we must “protect the family home”. What about the many families renting and saving?
Those who rented during the bubble years have no protection if they fall behind with their rent, however those who leveraged-up are somehow in a sacrosanct “family home” shouting for “debt forgiveness”.
Is it any wonder we are hearing increasing talk of strategic default and less about moral hazard?
If you cannot afford your present accommodation or a sensible debt restructuring then unfortunately you should declare insolvency and forfeit your house. The consequence of which is you rent or find a home better-suited to more modest means – just like the fiscally prudent renters. – Yours, etc,