Reverse Wealth Effect - Interesting Read

[green_cactus_IHB]

Interesting read @

www.oftwominds.com/blogdec07/feedback2.html

 

[effenheimer_IHB]

Charles has been calling for a positive feedback loop to form for some time now. I believe him.

 

[MalibuRenter_IHB]

I disagree with the author's assertion that borrowing costs are rising. They aren't. Borrowing costs are spreading. The highest-rated, most secure borowers are paying lower interest than a year ago. People, corporations, and municipalities with moderately good credit are paying somewhat more. Subprime borrowers are paying vastly more, if they can get credit at all.

 

[no_vaseline_IHB]

Unless the loan is conforming, it is almost totally unaccessable.