Mortgage crisis drives home value of PMI

Borrowers finding loan mods easier when not dealing with two lenders

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Luxury Connect | Oct. 16-18 | Beverly Hills

The blame game for the development of the current mortgage crisis is now in full swing, and, with one exception, no major participant escapes unscathed:

  • Lenders and investment bankers drastically relaxed their underwriting standards in response to the euphoria associated with rapidly rising home prices during 2000-2006. They approved loans that could not possibly be repaid without an indefinite continuation of house-price inflation.