Wednesday, February 25, 2009

Responsible Americans Riled Up

And why shouldn't they be?

"...Brenda Gilchrist said she feels like she is being punished twice, first by watching foreclosures depress the value of her three-bedroom condominium in Santa Rosa, Calif., and now by subsidizing borrowers who bought more than they could afford.

The price of her condo has fallen to the mid-$300,000 range, down so far from the $510,000 that she and her husband paid for it four years ago that their 20% in equity is gone. She said they decided to buy a less expensive home even though they had qualified for a $1 million loan. "We said, 'Absolutely, no way.' We chose to buy within our means," said Ms. Gilchrist, a 39-year-old managing partner of a human-resources firm. "The 'good guys' are getting a raw deal," she said.

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