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[–] hang_em_high 0 points 4 points (+4|-0) ago 

I don’t think that has anything to do with 2008. I know a couple people that got these and you have to go through a lot of shit to get a house with one. In 2007 they weren’t even confirming income, just selling the loan right away.

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[–] 13560730? 0 points 1 point (+1|-0) ago 

Also not seeing the folks with 3-4 mortgages as they cash out the increased "value" of their home every year or so. Folks were treating their homes like a bank account instead of an investment. Nor are we seeing the widespread use of interest only loans.

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[–] daskapitalist [S] ago 

Gotta love those NINJA loans.

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[–] wgtt911 0 points 2 points (+2|-0) ago 

the problem from 2008 was the liars loans and not the small down payment..

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[–] 13559920? ago 

Yep. It was the interest only loans, the 2nd mortgages based on the increase in value over the last 1 year, etc that caused the most damage. The low down loans don't cause near as many problems when not coupled with the other shit.

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[–] Thisismyvoatusername ago 

Frankly there’s nothing wrong with interest only loans, either. That is actuallya very common loan arrangement. The problem is that such a loan should only be given to someone with the assets to pay or the likelihood they will have the ability. Thos cannot be based on the current ability to get a loan, or they could simply constantly flip with no ability to ever repay. That alone wouldn’t even be an issue except the economy is not static and their circumstances may change drastically.

Depending on the interest rate, I’d actually be interested in an interest only mortgage. It would give me more money to deploy to other investments. At the end of the day my house is just a house. It isn’t an investment. If I could only pay interest on it at a similar rate to what I pay to amortize, I’d be much better off.