They’re rich and famous and in foreclosure
While the article seems to suggest that these individuals are behind on payments because they borrowed more than they could afford (which seems to be the same business model of many large corporations and the U.S. Government) I would think that these individuals likely took a look at the reality of the business deal they had and decided that it was no longer worth it to them to pay sometimes three times what a property is worth, plus interest over 30 or more years, for the property.
This notion of deciding to default because there appear to be no other options has been termed a strategic default. I am not sure what is so strategic about it, but I guess it sounds good. When looking at the numbers, many people determine that it is no longer in their family’s best interest to continue paying on their mortgage. If you find yourself in this position and would like to speak to an attorney about the risks and benefits of a so-called strategic default, contact my office.