Quick Financial Round Up

Here are some money-related news pieces I've found today:

• Home equity slips below 50%:

Americans' percentage of equity in their homes has fallen below 50 percent for the first time on record since 1945, the Federal Reserve said Thursday.

Homeowners' percentage of equity slipped to a revised lower 49.6% in the second quarter of 2007, the central bank reported in its quarterly U.S. Flow of Funds Accounts, and declined further to 47.9% in the fourth quarter - the third straight quarter it was under 50%. That marks the first time homeowners' debt on their houses exceeds their equity since the Fed started tracking the data in 1945.

• $75M in gift cards could become worthless:

As more retailers file for bankruptcy or go out of business, more than $75 million in gift cards are at risk of becoming worthless pieces of plastic this year.

• Mortgage delinquencies hit 23-year high:

Homeowners fell behind on their mortgages in the last quarter of 2007 at the fastest pace in 23 years, and the rate of new foreclosures hit the highest levels on record, according to data released Thursday by the Mortgage Bankers Association.

Boy, with all this negative news, you'd think the sky was falling.

The good news for people who've been following solid, basic financial principles for years is that bargains abound. One house we've been looking at is already down $100k from it's initial asking price!

Comments

[Evan]

I would recommend selling those gift cards! Even without the business going out of business, people waste tons of money leaving gift cards till they expire or failing to use the full amount.