People in Riverside, California have stopped using electricity and other utilities because they can’t meet the expense of the skyrocketing prices. Banks are taking the homes off of the market and then not putting them into their inventory, making it tougher on the people trying to meet the expense of their mortgages. According to our guest George Hemminger, 25% of the people in Riverside are squatting in their own houses.
Subprime the Musical- Series of light-hearted podcasts designed to clarify the Subprime Mortgage Crisis. To learn more stay: www.subprimethemusical.wordpress.com E-mail: moneyandsociety@gmail.com
If interest rates were to drop significantly more, say 30 YR fixed to sub 3%, and a huge percentage of homeowner mortgages are refinanced, what implications does this have on the broader economy, e.g. money supply, inflation, etc?
For investment property you don’t usually get mortgages, but you get a different type of loan. What is the name of that type of loan? Thanks
Last nighttime on “60 Minutes,” the reporter stated that one guy made a lot of money on failing securitizations of mortgages b/c he realized that if just a few mortgages failed, the whole security would be worthless. This is one part of the financial mess I never quite understood–or if I did, I’ve forgotten the explanation.
TIA