The Domino Effect of the Foreclosed

It is interesting to see that many of the foreclosures that currently are hitting the market aren't the owner's only property (Lose Homes, Pay More Tax, NY Times). In fact, they may have a nice portfolio of homes, and had just over extended themselves. So as they try to hide their properties from the lenders or protect themselves by declaring bankruptcy, other homes in the surrounding areas begin to suffer. Those abandoned homes that sit, withering away in stature, adversely affect the value of the entire neighborhood (Lenders foot the bill for abandoned homes, CNNMoney.com). Meanwhile mortgage relief seems to be growing in popularity, which helps readjust the payments for struggling homeowners, in hopes that everyone can avoid the dreaded foreclosure process (Housing rescue on the rise; so are foreclosures, CNNMoney.com), which contrary to popular belief, "...benefits no one: the borrower, community, lender and investor all lose [when homes go into foreclosure.]"

My sympathies to Wachovia's ex-CEO Thompson, as he packs up his desk due to an unfortunate decision regarding the purchase of a mortgage lender (Wachovia ousts CEO Thompson after losses mount, Reuters). May he find new employment without much difficulty.

Also, a rough day at the market (Dow -1.06%, Nasdaq -1.23%, S&P 500 -1.05%) : Stocks down after tepid economic data, bank woes (AP)