Tuesday, April 3, 2007

Article: The System Fixes Itself

The Battle for a Mortgage - New York Times

With all the news about sub-prime credit products and credit derivatives it is encouraging to see the industry react so quickly. It is getting harder to get a mortgage, credit scores have to be higher, more restrictions, etc. The industry manages its risk and in doing so corrects itself far quicker than any legislation could. Encouraging, even if it will be harder to get a loan.