Yep all of those people who used their homesto finance their lifestyles are now having to pay the pieper. $50,000 for landscaping YIKES! A shovel and a few trips to Lowe’s over several years is a much cheaper!
We had two friends who refied almost every year in Orange Co, CA. In 2005, we tried to get them to take a 30 year fixed. They were always doing 80/20 or whatever they could get their hands on. Always had 2, 1-2 year old cars and vacations whenever and wherever.
In early 2007, they sold at top of the market, retired, and took 40,000 and two CA peace officer retirements to rural Georgia. Bought a four bedroom on 2.5 acres for $179,000.
I'm still shaking my head about them.