Option ARMs At The Center of Rate Shock Fears

RE:Option ARMs At The Center of Rate Shock Fears

JB — Wed, 23 May 2007 11:00:00 GMT

Just curious to what all you people do for a living that makes you experts on an industry you dont practice in?

RE:Option ARMs At The Center of Rate Shock Fears

Steve — Mon, 21 May 2007 11:00:00 GMT

"The mortgage industry has descended into the depths of sleaze. Too many mortgage brokers are akin to white collar criminals who lie on a pathological level to close a loan." Wow, that's a bold statement. Do you really think they're "scumbags" or just people trying to make it in the world!!

RE:Option ARMs At The Center of Rate Shock Fears

SC — Wed, 27 Sep 2006 11:00:00 GMT

The mortgage industry has descended into the depths of sleaze. Too many mortgage brokers are akin to white collar criminals who lie on a pathological level to close a loan. The real estate market is going to implode and the damage will resonate through the economy unlike anything since the savings and loan debacle of the 1980's. Much of the blame will go to the mortgage industry and all of the scumbags who work in it.

RE:Option ARMs At The Center of Rate Shock Fears

Jean — Mon, 11 Sep 2006 11:00:00 GMT

I remember the late 1980's real estate shake-out caused by failed S&L's. Properties went down for over a decade in the Dallas area, (so much for r/e never depreciates). It was even worse for investors in commercial property, during that period sat hundreds of empty retail strips soaking up interest payments with no revenue. It will happen again this time around, the hard times are quickly forgotten during the boom. And home builders are already getting whacked again with inventory and land options.

RE:Option ARMs At The Center of Rate Shock Fears

CS — Mon, 11 Sep 2006 11:00:00 GMT

Builders offer what seem to be "predatory" loans, often with in-house mortgage companies. They don't care what happens because the loans are sold. KB Home was fined by HUD for predatory lending, and Dominion Homes is/was being investigated. IMO the entire industry should be investigated. While I don't hold out a lot of sympathy for buyers who chose to ignore the writing on the wall, but ignorance does not excuse the fraud or borderline fraud committed by the industry.