CAGE JUST SOLD SHORT HIS LAS VEGAS HOME
Nearly one in four people in Nevada who lost their homes to foreclosure have admitted to walking away even though they could afford their monthly payments, according to a study released today by the Nevada Association of Realtors and commented upon by the Las Vegas Sun.
According to the Las Vegas Sun, the study said 23 percent of those surveyed described their own situation as a strategic default, meaning they decided to stop making payments on their debt despite having the financial ability to pay. Many of those who walked away from their homes said trusted confidants advised them that a strategic default was their best option.
The Sun recently published several articles regarding Las Vegas homeowners increasing trend to strategically default:
The authors of the study said strategic defaults are a much greater problem in Nevada than the rest of the nation. It has less of a stigma here that it’s a shameful decision, and it’s becoming more popular as part of a snowball effect, they said.
“I believe the current trend upward. It could get worse,” said Joel Searby, SGS’s director of marketing and business development. “The cultural stigma is dropping, and it’s becoming more acceptable.”
Excellent report.