I do not think this is a bad thing. Really, some folks are just so far under. How many tent cities do we need? It is a big debacle. However, those that did not screw up and kept up with the mortgage are seeing diminishing returns. I do not feel good about that. I feel I'm getting penalized for doing the right thing. Then talks of removing deductable interest on your home loan for your taxes?
Where is the incentive anymore?
Also, will this make the government a slum lord? I would venture to guess it would.