$225 billion in mortgage defaults ... 1.5 million foreclosures ... hundreds of thousands of workers in housing-related industries fired
Mortgage Defaults May Reach $225 Billion, Lehman Says
Foreclosures May Hit 1.5 million as U.S. housing bust deepens
On the other hand, this Wall Street Journal story (subscription required) takes the stance that the housing and mortgage carnage will not really spill over to the broad economy.
I've been talking about these issues for a long time, so I won't repeat all of my arguments here. Suffice it to say that I have been bearish on housing for more than two years, and that I don't see any reason to change that stance yet. I believe it's only natural to expect that the biggest housing bubble in U.S. history will be followed by a painful bust.