More mortgage trouble predicted if consumers decide to steal

Some real estate and mortgage experts say that the mortgage industry hasn't hit bottom yet, because here's what's up next: Consumers with prime mortgages bailing out on their financial obligations. If these consumers with good credit and the ability to pay their mortgages don't make good on their loans, there could be a whole new wave of financial problems in our economy.

California is probably in the worst shape of any state. Real estate prices surged there in recent years, but then the values of homes also fell very quickly. The California real estate market was hit hard as subprime borrowers defaulted. But there is a belief that prime borrowers will soon decide to stop paying their mortgages as they see their real estate values dropping.

This makes no sense to me, because in my world, people pay their debts regardless of whether it's a "good deal" for them or not. Simply put, these homeowners purchased properties at prices they agreed to. They signed papers agreeing to pay back the bank for the money loaned to purchase the house. If the house has now lost value, it's not the bank's fault, and it doesn't do away with the fact that the consumer promised to pay!