Lots of baby boomers face a bleak economic future as more approach retirement, and that won’t help President Barack Obama’s re-election chances.
A recent AARP report showed that those age 50 and older are carrying more mortgage debt than ever, and the increase in the rate of serious mortgage delinquency of older Americans from 2007 to 2011 has outpaced that of younger homeowners. “As the mortgage crisis continues, millions of older Americans are struggling to maintain their financial security,” the AARP report said.
The report found 3.5 million loans of people age 50 and older were underwater. In that age group, about 600,000 loans were in foreclosure, and 625,000 more loans were at least 90 days delinquent.
Also from 2007 to 2011, more than 1.5 million older Americans lost their homes because of the mortgage crisis. Unemployment among older workers is high, and they have a tougher time finding jobs.
They also have to live with lower wages, increasing property taxes and fixed incomes. But how did older people in this country — once one of the most financially secure because of nearly 80 years of Social Security, solid savings and interest earnings, pensions and about an 80 percent homeownership rate — become so vulnerable?
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COMMENTARY: Declining fortunes affect boomers' futures
Wall Street did it! Wall Streeet and the pols they pay!
ReplyDeleteIt is bleak and remember, Boomers are to be the generation that receives the last great tranfer of wealth. Well, the bad guardians and conservators are seeing they don't get that either.
ReplyDeleteWell so far so good because we didn't go for the sell and buy your dream house. I see a lot of people who lost their homes, their 'dream' home which ended up being a 'dream' home they couldn't afford many had intent on selling their 'dream' home for a nice profit well some did and many didn't sell before the bottom fell out. All those who lost homes with no downn payment what did they actually lose when they walked away? Not much to nothing but we who are working and paying taxes are paying for those who mismanaged their lives and affairs.
ReplyDeleteFor those who ended up in financial problems due to medical problems and bills, I have concern and much empathy and sympathy for they do deserve assistance.
And for those who lost their jobs who were living within their means, they also deserve extra consideration and support.
But for those who were intent on profiting, well you lost me here you got what you deserved.