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The housing mess continues to go on. More and more people who took out risky adjustable rate mortgages are at the point where their loans are resetting to much higher rates. All of these people originally planned to either sell or refinance before that happened, but 2 problems have combined to prevent that: first, housing prices dropped. This put many people ‘under water’ on their home, meaning they can’t sell because they owe more on the mortgage than the house is worth. Second, the loan market has tightened up dramatically, after banks got scared by defaults (which stem from their practice of giving a loan to anyone with a pulse in recent years). So now it’s a big correction, really an overreaction I think, but it’s real nonetheless. We have to hope that over the next few months, this is going to work itself out. Hopefully!