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ThrustVectoring comments on US default as a risk to mitigate - Less Wrong Discussion
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seizures and forclosures are inconsistent with cheap meals costing a hundred dollars due to inflation. It's one or the other - either there's not enough money getting pushed to debtors, or there's a surplus of money and debtors can pay their mortgage easily with inflationdollars.
There are two different mechanisms at work here. The inflation is due to a devalued dollar. The foreclosures are because you lose your job as a direct or indirect consequence of the recession.
If a cheap meal costs $100 instead of $5, then your $100k mortgage is backing a $2mil house, and you can borrow against your instant equity (even with no income or job).
The interest rates may suck on borrowing against your home equity, but it's better than losing your house.