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Your Morning Credit Crunch: Whole Bronx Nabe Screwed?

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The Times pays a visit this morning to Williamsbridge, an epicenter of the subprime lending mess, and decides that the entire neighborhood may be screwed. How screwed? Well, pretty badly. There are foreclosure sales, people paying every penny they earn to cover their mortgages and the "effects of this free-for-all are increasingly felt even among those who did not take on risky loans." Longtime owners are worried their property values are going to tank because foreclosed properties flood the market. Business owners say sales are down. In other words, everybody's getting a little wet as the ship goes down. One local housing advocate thinks that someone should set up an emergency fund with investments from people getting Wall Street bonuses to help sub-prime victims refinance. He says it would be like "reparations."
· Holidays Find Loan Crisis Spreading to Businesses and Neighbors [NYT]