The Morning Report
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Thursday, May 03, 2007 | If mortgage lenders gave out risky loans to flippers, folks with multiple deals, stated income, then they deserve to lose on those deals. The over exurberance in the market pushed by these practices created a market, which pushed housing too high too fast. If a person went into a deal with no money down, then it was a gamble. The losers will be those who have to sell in the near future. Their condos are worth less then they paid, they will lose much of any down payment they put in. If they hold on, in five years they will forget about this dip. We have been through this before. The lenders should have learned from the savings and loan scandal of the 80s.

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