ARealConservative

What you describe here is more responsible lending activity.

If this is the evidence of financial crisis then let me wave the celebration flag for us all. Even if the value of the home is currently 500k, bravo to the lending institution for only allowing 80% of the homes value to be financed. In a state of flux such as we have, why in the world would a bank continue to finance at 100%?

DeeJayH

but that is determined by the appraiser not the bank/lender
and that is a bit of an absurd example, but case in point taken

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These days it seems that the deadliest place on earth for an American to be is inside the womb. - Joshua P. Allem

ARealConservative

the lender is ultimately who is at risk, not the appraiser. Given the state of our economic woes, why wouldn't they be hesitant against 100% financing? Mortgages are going in default at ever increasing rates, largely because it is cost beneficial for people to walk out on their mortgages.

DeeJayH

seems to me if i argued with you we would be debating minute we agree upon

Iriemon

You think grade school kids learn better when there is 50 to a class, eh?

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Matthew 5:9

RightinNYC

-Friends that worked at Lehman/Bear/MS or the law firms that derive most of their work from them are either laid off or worried about it

-Friends that work at other banks are working 90 hour weeks and whining about how their bonuses are going to be tiny this year

-Law firms that specialize in bankruptcy are throwing extra-lavish dinners

-Interest rates for student loans are still shockingly low

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People sleep peaceably in their beds at night only because rough men stand ready to do violence on their behalf.