The 2007-2008 foreclosure crisis triggered a much bigger financial crisis, which led to an economic recession. Now, a new study by a University of Arkansas economist suggests that while banks did prey on unwitting consumers, it is more likely that households overreached and borrowed more than they could afford.
And the biggest overreachers? Sigh. Gen Xers.
According to the U of A professor, Tim Yeager, the group with the greatest excess foreclosure percentage was Cash and Careers — the most affluent generation (Generation X) of adults born between the mid-1960s and early 1970s.
Yep. Gen Xers faced foreclosure more than any other generation.
Yeager certainly emphasizes there is plenty of blame to go around. He says both consumers and lenders were too aggressive. But…Read more here.
Photo Credit: Quint Cobb Foreclosure Relief