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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: mishedlo who wrote (71414)10/8/2006 2:00:30 PM
From: UncleBigs  Respond to of 110194
 
Appraisals are getting tougher and tougher and that started well before the new guidelines happened

Appraisals got tougher only after real estate values began to decline. Why did real estate values decline? Because interest rates increased and the supply of greater fools decreased. The consumer simply couldn't support peak market values any longer.

In this case, the consumer cracked before lenders cracked.