based on REAL world values the number is much worse.
It is just there are people still able to pay these outrageos mortgages. (as in fraud in the inducement based on bank mandates apprasals)
Banks no longer make public their home apprasal formulas.
No one put a gun to the homebuyers head and forced them to sign the loan. And no one has a *NEED* for a house, when renting is a viable option.
The buyers knew what they were getting... and if not, a fool and his money are soon parted.