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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: patron_anejo_por_favor who wrote (176945)	1/13/2009 11:42:51 PM
From: Lizzie Tudor	Read Replies (1) \| Respond to of 306849

yeah ok smarty pants. I was just thinking that people that are current on their mortgages today are the best credit risks at this point. In other words let these current people refi to 4% with payment of a nominal fee (one point or something) and screw everybody else, screw the loan mods workouts what have you, because those people are already f-ed. I'll bet you anything when all is said and done that people who are current as of 1.1.09 end up having the lowest default rates going forward of any group.

To: patron_anejo_por_favor who wrote (176945)	1/14/2009 1:09:17 PM
From: tejek	Read Replies (2) \| Respond to of 306849

>The spreads on mortgages are ridiculous and these banks should be forced to lend.<< Umm, not to put too fine a point on it but isn't that precisely how the housing bubble got rolling in earnest? Got ownership society? If we've learned just one thing from the housing bubble, it should have been that lowering lending standards is not the cornerstone of a prosperous society. The problem now is not lowered standards but raised ones. The banks are making it very difficult to borrow. In fact, an argument can be made that they've gone too far the other way.