The myth that people are "losing their houses": They did not own them in the first place!
I know many people who are worried about losing their houses or indeed have told me they have lost "their investment property"
What they fail to acknowledge is that the property was never theirs as most of them had 100% or near 100% mortgage finance on the properties.
A sense of entitlement developed just because they managed to get a mortgage they never could really afford. Now just because they cannot afford the mortgage, or have decided they cannot afford the mortgage, they want to keep the property, or to get a huge discount on it.
These people were fooling themselves in the first place to think they owned property. What they had was an obligation to service debt repayments for the life of their loans at the end of which the security for the loan would become their property.
This State cannot afford to be picking up the debts of failed property investors. Many people are making a conscious decision to simply default and walk away from their debts, expecting taxpayers to pay their debts for them.
There was a time when people saved 25% of the cost of a house as a deposit before they "bought a home". At the peak of the boom many "ought a home on 100% finance and had the mortgage topped up with the price of a car and a wedding.
At the height of the boom people bragged not about how much their home has risen in value but about how much their House had risen in value! Now when the going gets tough emotive terms like Home come into play. When will the whinging about "losing a home stop"?