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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: combjelly who wrote (347034)	8/20/2007 3:06:19 PM
From: tejek	Respond to of 1575535

"I can understand someone fresh out of school falling for one of these loans but a woman who owns three houses?" It isn't all that uncommon. It is the same reason why people still buy at the peak. The market was going up, why not forever? The old rules have been broken so often, they no longer apply. Then, when the rules apply again... If the market is going up 10% or more a year, and will continue doing that for years, then these types of loans make sense. What the buyers fail to realize is that the market cannot keep doing that forever. At some point, your potential buyers are reduced to those who have just sold a home, and then it becomes those who have just sold a home in your area and then... I guess I thought experience would have trumped greed. I guess I would be wrong.