Quote:
Originally Posted by Phaneuf3
Here's the problem with the whole situation - Who caused their losses?
If you could boil down the entire situation into one sentence: The economy collapsed when the US housing and financial market collapsed.
What caused that? More bad debt than you can shake a stick at. What caused that? People buying houses that they had no hope of affording. What caused that? A sense of entitlement that no matter how poor you are you deserve to own your own home.
Do you think its the boomers that took out a majority of these bad loans?
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No I don't think the Boomers took out many of those bad loans and the people who did are losing their houses because of their bad decisions. Unfortuanately those bad loans are not being covered by the sale of their homes so the lenders are having to cover the losses. Those lenders indirectly are mostly Baby Boomers. From what I've seen the American government has mainly thrown money at these companies who lent the Boomers money out and are now being saddled with devalued property which won't cover the loans if they even can be sold.