Saturday, February 26, 2011

Mortgage crisis and how to solve

Successful real estate companies in the marketing of homes for low-income and managed to circumvent the laws of the credit limit, resulting in extremely high prices of real estate, and became the homes of low income are estimated amounts that exceed the value of Acharaoualflih for early buyers, began low-income people to take loans from banks by insuring their homes, which have not paid primarily The dependence of these loans, regardless of the price difference between the desired value in the market, but after a while and then began to float Knitwear cons of contracts on the scene and became monthly installments unbearable for many people declined to pay and real estate prices started to come down to the bottom.

More banks and finance companies, real estate felt the danger arose to sell the debt of citizens in the form of bonds to international investors by ensuring homes, took refuge in some of the investors of the Worlds after the growing problem of mortgage insurance companies that found in the mortgage crisis a great opportunity for profit, and ensuring that homes in the Oamtna low-income citizens for payment of the value of mortgage their homes, so the insurance companies classify debt securities into two categories: category (a) subject to the payment, and category (b) no repayment of loans, insurance companies have begun to take insurance premiums on the bonds from international investors.

Problem has become complex, as a citizen low-income thinks that the house belong to him, and real estate companies that did not receive the value of homes fully think that the houses belong to her, and at the same time you think the banks that the houses belong to her by virtue of what he took low-income loans to ensure houses, in the same area you think insurance companies that the houses belong to her by virtue of its commitment to the payment of bonds to international investors and that in the event of inability to pay the value of the mortgage for low-income citizens

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