Comments on: Mortgages: Who’s To Blame For The Lending Crisis (Part 2) http://www.fhaloanpros.com/2007/11/mortgages-whos-to-blame-for-the-lending-crisis-part-2/ The Unofficial Guide to FHA Loans & Mortgages Thu, 21 Aug 2008 23:04:38 +0000 http://wordpress.org/?v=2.0.5 by: Peter G. Miller http://www.fhaloanpros.com/2007/11/mortgages-whos-to-blame-for-the-lending-crisis-part-2/#comment-982 Sat, 24 Nov 2007 09:12:10 +0000 http://www.fhaloanpros.com/2007/11/mortgages-whos-to-blame-for-the-lending-crisis-part-2/#comment-982 Jason -- Please re-read the <a href="http://realtytimes.com/rtcpages/20070313_mortgagesurprise.htm" rel="nofollow">column</a>. It quotes material first published November 30, 2004, September 13, 2005, June 7, 2005, July 27, 2004, November 16, 2004, June 28, 2005, May 5, 2006, November 28, 2006 and February 14, 2006. Jason –

Please re-read the column. It quotes material first published November 30, 2004, September 13, 2005, June 7, 2005, July 27, 2004, November 16, 2004, June 28, 2005, May 5, 2006, November 28, 2006 and February 14, 2006.

]]> by: Jason Vondrak http://www.fhaloanpros.com/2007/11/mortgages-whos-to-blame-for-the-lending-crisis-part-2/#comment-967 Sat, 24 Nov 2007 02:01:01 +0000 http://www.fhaloanpros.com/2007/11/mortgages-whos-to-blame-for-the-lending-crisis-part-2/#comment-967 Sorry Peter, but you are not backing up your "I have been warning borrowers and lenders about this stuff for years" with an appropriate example. This article you are siting was in March of 2007 when the secret was already out, you are going to have to do better than this to convince me that you have been warning for years. I am not saying that you havn't been warning for years, but rather that this is a poor choice of proof. You are bringing to point a few articles from the past regarding option arms and I/O products, but this was also helping the middle class american to get into a home that they could have otherwise not afforded. While many are going to lose their homes in this mess, many more were able to qualify for homeownership that otherwise might not have. They were also able to maintain that homeownership by maintaining excellent credit and not tapping into their home's equity for vacations and luxury vehicles. You are also forgetting that these interest only products are not always a bad financing option and that Uncle Sam is not giving tax breaks to pay off your home early. When he makes principle payments tax deductible I may side with you. You are taking much of what I say out of context as well. It is rather obvious that a bank is going to loan money on a bank's terms and traditional lending policies rather than the borrower's terms and lending policies. What I was stating is that borrowers are not completely dependent on lenders for information. Sorry Peter, but you are not backing up your “I have been warning borrowers and lenders about this stuff for years” with an appropriate example. This article you are siting was in March of 2007 when the secret was already out, you are going to have to do better than this to convince me that you have been warning for years. I am not saying that you havn’t been warning for years, but rather that this is a poor choice of proof. You are bringing to point a few articles from the past regarding option arms and I/O products, but this was also helping the middle class american to get into a home that they could have otherwise not afforded. While many are going to lose their homes in this mess, many more were able to qualify for homeownership that otherwise might not have. They were also able to maintain that homeownership by maintaining excellent credit and not tapping into their home’s equity for vacations and luxury vehicles. You are also forgetting that these interest only products are not always a bad financing option and that Uncle Sam is not giving tax breaks to pay off your home early. When he makes principle payments tax deductible I may side with you. You are taking much of what I say out of context as well. It is rather obvious that a bank is going to loan money on a bank’s terms and traditional lending policies rather than the borrower’s terms and lending policies. What I was stating is that borrowers are not completely dependent on lenders for information.

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