-
-
High-risk mortgages have facilitated those with low credit scores to become homeowners. Subprime loans can be of the high risk variety. Subprime loans are typically mortgages to borrowers with credit scores of 620 or below. With a low credit score, lenders typically must charge a higher interest rate. Interest rates charged on a subprime loans are typically adjustable-rate mortgages (ARMs). A garden-variety ARM has a low interest rate period for the first two or three years. However, after the introductory period, interest rates go up resulting in higher monthly mortgage payments.
-
Fast Facts:
- Federal Housing Administration (FHA) insures over 34 million home mortgagesOfficial Website: About the FHA
- June 2008 FHA expects to lose $4.6 billion due to high default rates on home loansThe New York Times: F.H.A. Faces $4.6 Billion in Losses(June 10, 2008)
- The FHA expects to help 500,000 people refinance their home mortgages in 2008
-
Bernanke on Subprime Mortgage CrisisFederalReserve.gov: [http://www.federalreserve.gov/newsevents/speech/bernanke20070517a.htm May 17, 2007 Speech]
- "Looking forward, the Federal Reserve, other regulators, and the Congress must evaluate what we have learned from the recent episode and decide what additional regulation or oversight may be needed to prevent a recurrence"— Bernanke, at At the Federal Reserve Bank of Chicago
- "I believe that, in the long run, markets are better than regulators at allocating credit."— Bernanke, at At the Federal Reserve Bank of Chicago
-
-
High-Risk Mortgages Questions
What is High Risk Pregnancy? 2 AnswersPregnancies at high risk of fetal or maternal complications. There are many factors that contribute to complications during pregnancy and delivery. A pregnancy,... read more
What are some of the details of the Mortgage relief plan? 3 AnswersThe Associated Press released a brief article on some of the plan's highlights this morning (see link below). Some of these include: -"$2 billion in competitiv... read more
Which Banks are starting to offer Mortgage modification loans plans? 1 AnswerAlthough I'm not currently looking at loan modification, I am trying to refinance and take advantage of a lower interest rate. I've done a bit of research on th... read more
Who qualifies for a mortgage modification? 2 AnswersMortgage modification is not very likely if foreclosure proceedings have started. However, there are several options for help at that time, and it is not too la... read more
view more questions...
-
High-Risk Mortgages Central Figures
- Christopher Dodd
- U.S. Senate Committee on Banking: Opening Statement
- Ben Bernanke
- FOXNews.com: Mortgage Troubles Warrant Close Watching
-
On Twitter Powered by Twitter
-
Fundamental forces driving foreclosure activity: high-risk mortgages, negative equity, unemployment.
-
Floridians abuse high-risk mortgages, don't show up for rehab http://bit.ly/3zaiFc
-
Floridians abuse high-risk mortgages, don't show up for rehab http://bit.ly/hubqe
-
Floridians abuse high-risk mortgages, don't show up for rehab http://bit.ly/4gIxJq
-
Floridians abuse high-risk mortgages, don't show up for rehab http://bit.ly/2oA5nB
view more tweets...
-
About this page
-
Page Views24
This page currently has no vertical manager.
- Christopher Dodd
