Financial Market Unsure About Size of Mortgage Disaster
The AP is reporting some troubling news this morning:
The U.S. mortgage-lending business is a sprawling, varied enterprise that no one regulator oversees, making it impossible to know how many mortgages or lenders not insured by the government are in trouble.
Even worse, no public records are available to show who holds the trillions of dollars worth of mortgages that investment banks pooled and sold as securities to investors around the globe. The value of many of those securities plunge as mortgage defaults soar.
With an unregulated industry, that formally gave massive numbers of loans to borrowers with poor credit, no down payment, and often, no way of documenting their income, is there any wonder as to why disaster hit?
Such a mess makes this homeowner seriously consider his options to pay off mortgage loans of his own, so as to be done with the whole corrupt industry once and for all.
Really, one must wonder how the lenders managed to stay in business as long as they have, considering all the mistakes that have thus far been made throughout the industry.
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