Numerous articles were published and billions of lines were written since the subprime crisis. Millions of homeowners upside down on their homes, some even having mortgages for more than twice the value of their home.
Then, you compound the problem with the poor job market (June 2012 job report), and people are running into trouble. Maybe they are forced to cut back, or get laid off. Now, not only is income tight, but they have a huge mortgage they can’t pay. And they also can’t refinance their mortgage loans because they have no job and their house doesn’t appraise.