There is a tsunami of wrecked credit that has only begun to hit the credit reporting bureaus. Many of the victims are those whose FICO and credit scores have been demolished by short sales and foreclosures. With the short sales, or short pays as they are sometimes called, the mortgage lender has agreed to accept less than what is owed on the home–and where more is owed on the home than what it is worth. In the case of foreclosure, the home is auctioned off for non-payment. In both scenarios, credit scores of the former homeowners are generally ruined, which will likely prohibit them from purchasing another home anytime in the near future–or perhaps for years to come.
Many will argue against the idea, but perhaps it is time to consider credit amnesty for those who have lost their homes to foreclosure and short sales. Sure, there were those homeowners who were greedy, who used their homes as ATM machines, who foolishly thought the crazed real estate market would continue forever–or at least until they managed to sell at the top of the market.
We have even met a few of those people. They are among the legions who followed real estate flipping shows and late night television gurus. They followed the promises of big and easy money.
But most of the defaulted clients we counsel have a history of home ownership, pay their bills on time, and were lured into mortgage financing that was so easy to obtain and which offered irresistible terms. Most relied on the counsel of a loan broker or real estate agent (often one person who wore both hats), who assured them of the wisdom of such loans.
It was a diabolical match: Gullible and sometimes greedy homeowners paired with greedy and sometimes crooked mortgage and real estate professionals.
The finger pointing can go on for years, but very soon there will be tens of thousands of people who will no longer be able to purchase homes. Add these numbers to the huge pool of buyers who are already afraid to enter the burgeoning real estate market and we have an economic problem of near-Biblical proportions.
Click here to continue. (Sorry, but it's that duplicate content penalty thing)
All it took was a call over to my Dad (Bob Michelson) and husband Mike, who were watching the San Diego Chargers getting demolished by the Green Bay Packers. 
Both Fed Funds and Discount Rate have dropped 50 basis points each--and Wall Street has exploded over the news.
Carmel Valley is one of San Diego’s newest and most sought-after master planned communities. It’s estimated 2006 population of 42,000 enjoy a superb location that is roughly bounded by Del Mar to the east and west, the Rancho Bernardo area to the east and Torrey Hills to the south. Freeway access is simple, with I-5 running along Carmel Valley’s western border and the new Highway 56 intersecting Carmel Valley through the middle.