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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: Oblomov who wrote (8980)	3/15/2008 2:12:46 PM
From: Augustus Gloop	Read Replies (1) \| Respond to of 33421

<<Isn't the risk of default considerably higher than a few years ago?>> That they are! The question is did the banks help that risk along? Since they have the final say in the loan process I think they did. The next question is would risk of default go higher with higher rates? I think it would which leads to the next question. Would risk of default go down if we had a refi boom at 4.5%? I think it would. No new home equity loans or extension of additional credit - just a solid FIXED refi at 4.5%