Tuesday, October 05, 2010

One Missed Payment

Something that I don't think is appreciated well enough is that when it comes to paying a mortgage, for many people if they miss one payment that's it. Without some sort of forbearance by the bank they are unlikely to have sufficient income to make up that missed payment. Especially at the crazy prices people were paying, people don't have sufficient income to cover two mortgage payments in a particular month. And nobody has liquid savings.