From the LA Times:

Despite the mortgage meltdown, the blizzard of loan advertising continues. Now firms are targeting those with good credit and plenty of equity….

Of course, the salesman acknowledged, many borrowers at all income levels are attracted to the option ARM because they have let their personal spending get so out of control that the low payment is the only one they can afford. ….

“Newport Beach, where everyone is driving a Mercedes and the homes start at $1 million, is like an old western movie set,” he said, describing the finances of many wealthy homeowners as precarious. “It’s all just a front, with stilts holding it up.”