When we think of what we consider "wealthy," we also consider "those people" safe from such mundane worries as foreclosure. Indeed, we often think of the wealthy as people who are able to absorb all sorts of economic shocks -- and who have enough money that they do not have to worry about things like the housing market crisis.
The evidence, however, is pointing another way. Those we consider "wealthy" are beginning to see foreclosure problems (Ed McMahon is one of them). Being wealthy doesn't totally exempt you from overextending yourself on a home, and it doesn't protect you from inflation when you are living close to the edge of your resources.
And, of course, housing market problems are affecting home values in wealthy neighborhoods, reports CNN Money:
"What I'm finding is that million dollar plus homes declined 4% or so [over the past 12 months]," said Don Kelly, a spokesman for Zaio, which is building a national data base of home value appraisals.
So, even though it may be foreclosure on a grander scale, the housing market crisis is moving up the economic ladder.
image source: sxc.hu
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