Subprime Lending has fallen, Just $88 Billion In First Quarter

This news doesn't come as a shock to mortgage originatoers and other real estate professionals. This runaway train will have to crash and burn sooner or later. However, Mortgage rates have always varied over the years. Back in the eighties Fixed Rates Mortgages were as high as 18% or better. This did not stop people from buying homes. There was creative financing available mainly for those individuals who had the means and understanding to meet the demands of a variable rate product and program. The foreclosure rate was nothing like that of today. Profits! Lenders out for profits and all of those professionals that eat from the real estate chain have played a significant roll in the conditions of the market today. Home owners and buyers are not exempt.
There was a time when Mortgage Lenders and Brokers would not offer a Mortgage product to a borrower if it would ruin their lives when the loan closed. Today, a new Sheriff is in town. He is out for profits and he's still out there raking it in any and everywhere he can collect it.
One would think with all of the negative press regarding Mortgage Loans, borrowers would be more cautious and informed about the decision they make regarding the good ole Mortgage payment. It goes to show you that where there is a desireor a need, there is some one and something to meet that desire and need. Supply and Demand! Where there is a demand there is a supplier.
Life goes on and however one looks at a thing, the world still goes round and round in a constant motion. Time never stops and waits for anyone. Although there may be a huge decline in production, according to the(Quarterly Data Report), 50% decline in Subprime production compared to this time last year, man still has a need for a place to call home. The health and state of the market will change with time.
Those who find themselves in a state of shock will eventually move to a better place. We must move forward. I have to say, $88 billion is still pretty damn incredible. What a beautiful country.

C. Rucker