[dvt]

> would likely be better off walking away

Most people will not go underwater (not that many people, proportionally speaking, bought in the last 2 years), but either way, there's zero chance anyone's walking away if it's their primary residence. What are they going to do, live in a van down by the river?

[danielheath]

> What are they going to do, live in a van down by the river?

Rent?

[m00x]

Rentals in the near-future will be of higher cost until re-adjusted or if the demand goes much lower. Also, renting with a bankruptcy on the record could be challenging.

[dvt]

Not trying to patronize, but going underwater does not mean bankruptcy. The only way people are going bankrupt is if they can't afford their mortgage (e.g. they lose their jobs). The job market is extremely hot right now, so it's unlikely we'll have bankruptcies. Worst case scenario, homeowners contribute more to their loan than to house equity every month. Yeah, that kind of sucks, but still way better than renting or being homeless.

[UncleEntity]

Pretty sure after a pandemic and (potential) crash nobody is going to care if you have a bankruptcy in the last several years.