Just a quick reminder that the Bank of Wells-chovia exposure to bad real estate loans remains massive. Developing angle: Squatters. In California.
You see, if landlords who had BofA or Wells mortgages default, there is the not small matter of the folks living in the space who have been making rent payments. Not easy to just throw them out on the street, especially in places like San Fran with robust tenants-rights laws.
But this issue is but a sub-set of looming legal battles the banks will face on a host of best-practices grounds. Have fun. Keep your loafers and sensible pumps dry as the oozes rises.
