Why should the rich be allowed to walk away from their homes?

[Kevin]

If someone can afford to pay for an underwater home, why shouldn't they?

There is an article on CNN money saying that foreclosures on homes costing more then 2 million is almost double the homes costing less then 2 million.

http://money.cnn.com/2012/02/23/real...x.htm?iid=Lead

Foreclosures on homes costing $1 million has risen by 115% since 2007.

Foreclosures on properties valued at $2 million or more has risen by 273%.

I guess this is what is called a strategic default? The home is worth less then is owed, so the people that can afford to rebuild their credit quickly walk away, take a credit hit, and its it no big lose to them over the long run.

In an age when personal responsibility is at an all time low, why should rich people be allowed to walk away from homes they can afford?

[Adjuster]

The IRS is looking at the reality they "made" income on this type of action.

Say you walk away from your loan of 4 million, on a house that's now only worth 2?

Well, they see that as a 2 million dollar capital gains....

The 1099's will start to arrive, and I wonder how many will deal with them?