The Washington Times had an excellent series this week on the state of the lending industry. Brought to my attention by an astute reader, the series highlights many of the deceptive and predatory tactics used by lenders to take advantage of unwitting, uncaring and unprepared purchasers.
The entire real estate industry (and associated professions) has become subject to short-term memory, and forgotten the cyclical nature of the market. The boon has spoiled many; any change will likely lead to a fair amount of turmoil and upheaval, both on the professional and consumer sides.
Most mortgage brokers today are in their 20s or early 30s and have not lived through a deep recession or other “worst-case scenario” in their adult lives, Mr. Cruise said.
“I’m not sure the loan officers themselves know what could happen” if rates rise precipitously or the economy plunges, he said.
As with any profession, there are plenty of good, honest brokers and Realtors. Unfortunately they seem to get the short end of the press stick.