"Maybe Countrywide and Bank of America are going to have some problems going forward,'' he said. "When people see that their houses are worth a lot less than their mortgage balance, they have an incentive to default. The troubled mortgages that Countrywide already has will be followed by even more troubled ones.''
Of course, Bank of America has already proven itself to be a bunch of idiots. It was obvious even to complete outsiders like little ol' W.C. Varones that they were making a horrible mistake paying $18 a share for Countrywide in the summer.