I don't think so myself, I think that sub prime loans happened because lender and bond investors wanted the returns. Don't go blaming the real estate agents or the loan officers who originated the loans and sold the houses.
But this blogger sounds like he disagrees with me, and finds the sub prime and foreclosure mess to be a bit race hardened.
Reverse Redlining! The Abuse of Minorities and No Outcry!
from ActiveRain Blogs by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Greater Atlanta)
I was watching a financial home on CNN Money tonight where they brought up an interesting concept. Years ago in real estate there was a term called "redlining" which meant that some minority areas were marked off as a bad area to make loans, and that made it difficult if next to impossible to obtain financing. These are referred to as "Sub-Prime Loans!"
Go to Reverse Redlining! The Abuse of Minorities and No Outcry! for all his thoughts. Or better yet leave your thoughts right here on our comment section.
From: Source of Title Blog
"Mortgage insurer MGIC Investment Corp. announced that will offer 37.3 million shares in an attempt to raise about $420 million, according to an article in The International Herald Tribune. Any takers? That would seem to be a tough sell to investors in the current mortgage climate. With the skyrocketing default rate on mortgages, record number of foreclosures, and the steepest decline in house prices in more than 20 years, more mortgage holders are filing claims on their MGIC policies. The company had a 42% increase in payouts last year totaling $870 million dollars. It reported a loss of $1.67 billion." Read entire article
Some sites and articles we're watching today, that apply to Mortgages and Refinances in NW Indiana.
PMI companies pulling the plug on some areas?
from ActiveRain Blogs by 1st Financial Mortgage, Inc.
Fraud Awareness
from ActiveRain Blogs by Naoma Doriguzzi -Wachovia Mortgage (Wachovia Mortgage, FSB)
Good News! Easing of the Lending Reserves Could Fuel a Surge in Our Housing Markets Yeah!
from ActiveRain Blogs by The Real Estate Text Book authored by William Johnson GRI CRS e-PRO (RE/MAX Associates)
A Fed Rate Cut Could Send Your Mortgage Rate Even Higher
from ActiveRain Blogs by David Soto - Illinois Home Loans & Mortgages (Illinois Home Loans & Mortgage Refinance)
What's the prevailing thought in the mortgage industry?
- That you should lock now, rates aren't going to go to 4%
- That all the government intervention will only make the mortgage market less responsive and more prone to fraud
- That it's time to buy .... what in the world can a buyer gain by waiting longer into this mess
Northwest Indiana is right on the verge of a huge recovery!
First FHA announced that our loan limits have been raised to over $400,000
Then, the Fed jumped into the market to calm jitters yesterday, which created a 400 point surge.
Finally some Good News in Real Estate March 12, 2008 reports show that markets are showing recovery nationally.
Sure, these markets aren't vacation markets, but we've been saying for months that the vacation markets may take a few more months.
Current VA home rates have lowered to 5.5% - APR 5.89%This is really good news for veteran borrowers who are looking for a VA home loan.A VA mortgage loan can assist many homeowners with a no down payment, and also for those that need a bad credit mortgage.
Call First Financial Trust Mortgage, ask for James, at 219-762-7200
Or email jamess@fftmortgage.com today! Your VA home loan could be right around the corner.
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