How's That Recovery Comin?

[Antitrust32]

Originally Posted by dalakhani

There is some truth to what you say. But...

How about the family that had no choice to buy a 400k house because the market inflated to a point where it was next to impossible to find a decent place for what they could afford? I am not saying that this was the case all of the time but there is certainly a large portion of the problem loans out there where this was indeed the case.

I think the bank does have a level of responsibility as does the borrower. The types of loans that were being pedaled were just irresponsible on so many levels especially the alt a and subprime that were pushed by the investment banks.

Mortgage rates are close to the lows of last year again and arm products are lower in many cases.

If investors want yield, they are going to have to lend money. Its as simple as that. That is why we are seeing Mbs and Cmbs offerings that we didn't see even last fall...and there is more to come.

Don't fight the fed Randall.

in my opinion, if a person is going to buy a house they should be educated enough on what they can spend. Just because lenders are like used car salesmen, they still dont force you to sign on the line.

The family that spent 400k had options. Shoot, renting is a better option than buying a house that is 200k more than you can pay for and you will get forclosed on.