As of December 2011, approximately 3.5 million loans of people age 50+ were underwater—meaning homeowners owe more than their home is worth, so they have no equity; 600,000 loans of people age 50+ were in foreclosure, and another 625,000 loans were 90 or more days delinquent. From 2007 to 2011, more than 1.5 million older Americans lost their homes as a result of the mortgage crisis.
We had years of no increase in Social Security Income, a very bad economy which destroyed retirement savings accounts, a lack of jobs, and ever increasing costs for food, fuel, heat, and medications. On top of this, towns and cities have also lost income and have raised property taxes to cover services. It became a vicious cycle and that has led to many of these foreclosures.
Older Americans lost their savings and now they are losing their homes.
What financial institutions are going to work out a negotiated deal on a mortgage or home equity loan for someone who has a fixed income and increasing costs of living?
What happened to the "respect your elders" that we used to hear?