Financial Ruin

From this story about housing prices in the SF Bay Area, House buying: receding dream:

“With Bay Area home prices rising steeply over the past two years, most buyers have opted for adjustable-rate mortgages — often with the option of “interest-only” payments — to ensure affordable monthly payments.

In the first two months of 2005, 82 percent of people who bought homes in the nine Bay Area counties and Santa Cruz County got adjustable-rate mortgages…”

The “For Sale” signs are sprouting like mushrooms. It probably won’t be long now.

How many of you remember the Savings and Loan crisis, and the root causes?