SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 414.48+0.7%Jan 9 4:00 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Ilaine who wrote (21112)8/12/2007 1:48:10 PM
From: carranza2  Read Replies (1) of 219225
 
I have maintained that teaser rates and ARMs require tougher loan undewriting standards than for fixed rates since, obviously, the risk is that the borrower won't be able to repay when things reset. Thus, a solid borrower is required, one who can handle the resets.

The waves of bad news, pain, defaults, etc., which will ripple through the economy will be brutal, especially next year when the bulk of the funny money loans reset in the spring.

There's a lot of time for the Fed to do something to prevent widespread dislocation, but not too much time.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News