isn't going to get me to attempt to refinance when my home value has plummeted below my current mortgage value. I know it would be an exercise in futility, unless the government uses their TARP influence or a HOLC program to incentivize the banks to talk to me before I am delinquent. I don't know what part of that equation Obama and Timmeh don't understand. People like me who are financially solvent are saving all their extra money to repay the bank in case we need to sell our homes any time soon and don't want to ask for a short sale.

Now even if I am delinquent and in bankruptcy the judge still can't write down my loan value.

Yes, good luck with economic recovery when millions of consumers are in this boat.

It's not a good time for most people to take advantage of buying a home. In too many areas, housing prices are still out of synch with local wages. Until that imbalance is corrected, it's not a good time. Maybe if you're a young professional already making a decent six figure income and who can legitimately expect that income to hold up and rise, it might be an acceptable time, but only when one factors in the long term. If you can't reasonably expect to be able to weather your house losing value and sitting, value-wise, in a trough for the next 5 - 7 years, you've got no business buying a house right.