Decline of (upper) Middle Class Neighborhoods

If you've wondered why your formerly nice neighbors seem to be in the decline, here are many reasons why:

1. "Liar loans" (or officially "stated" or "no doc" loans) allow people to buy homes beyond their means. Many frauds have been reported in the news and are affecting various sub-prime mortgage companies. So, formerly poor (so called "sub-prime" borrowers) could buy homes in the (upper) middle-class neighborhoods with 0% down. With Neg-Am ARM, the initial payments are "affordable" but watch out when the rates and payments reset to higher numbers.
   
2. Homes bought with fraud or even unlived in homes can be taken over by pot growers or meth labs.
3. Section 8 vouchers (free money from the taxpayers) allow poor to move out from downtown slums to middle class suburbs.
   
4. Anti-gang push by big cities means the gangs move out to the suburbs.
   
5. And if some disaster strikes like flood or tsunami or hurricane or earthquake: there goes your neighborhood....
   

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