Anyone who buys a new car knows that once they drive it out of the showroom and around the block they lost 10% of the value. Less than 1,000 feet, and wham, it is underwater! Then there is underwear, just buy it, wear it for just one day, and think you will get your money back, they are underwater. How about that pizza, buy it at 8 PM, just a few bites, and wham, underwater.
But when someone buys a house, and it goes under water we want the Government to make them whole again, whatever that means.
Now the fundamental idea was that when you bought the house and agreed to the payment terms, the value of the house became relatively irrelevant. Who cares what the house is worth, you owe the money back.
But not any more, some how in the entitled generation if you make a dumb mistake, even if you committed fraud, well we expect the Government to make us whole.
That is just another element of the victim and welfare state, take from those who paid and give it to those who will not. The old adage of reward success and punish failure is gone. But someone mus eventually pay. The Government really does not exist as a payer, it is a fund transferer. It takes from the rich and gives to the poor. But the rich, whoever they may be, got that way for many by creating and working hard, and yes many had gotten burned, that is the way you learn.
Survival of the fittest, Spenser and Social Darwinism, yes it has some merit.