Stumble It!
Subprime Mortgage Rate Freeze To Be Announced
It was just announced on Fox News that President Bush is going to make an announcement tomorrow at 1:30 eastern time about a subprime mortgage rate freeze. This is said to be a freeze on adjustable rate mortgages that are subprime. So, they will keep the low rate they already have. It was said the freeze may be for up to 5 years. This will undoubtedly help some who are in this position. However there are a lot of subprime mortgages that are not on the adjustable rate program. They just already have a high rate, and it stays.
Is this the best solution for the overall mortgage crisis? How much trust will those who purchase the bank notes have in buying U.S. bank notes when the agreed upon terms can be changed by the government, after the contract. It seems it will not put the U.S. mortgage market in a good position. Therefore, it won't make it easier to get a mortgage loan.
I'm not a financial analyst by any means. But these are questions that come to my mind. What do you say? Have any insight into this. Please leave comments below. I want to hear from you.
Is this the best solution for the overall mortgage crisis? How much trust will those who purchase the bank notes have in buying U.S. bank notes when the agreed upon terms can be changed by the government, after the contract. It seems it will not put the U.S. mortgage market in a good position. Therefore, it won't make it easier to get a mortgage loan.
I'm not a financial analyst by any means. But these are questions that come to my mind. What do you say? Have any insight into this. Please leave comments below. I want to hear from you.
It seems to me that this is not good in the long term. I'm not even sure it's good in the short term.
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