Reflections on mortgage rescues and remedies

Loan money shortage not the problem

As I indicated in my column Tuesday, the current trials and tribulations of the home mortgage market stem from a re-pricing of risk. There is no shortage of mortgage money — quite the contrary; an army of loan providers out there are desperate for customers. The problem is that some kinds of customers are no longer eligible under the new rules, and others who remain eligible must now pay a much larger premium over the best price than was the case earlier.