For five years Richard owned a subprime mortgage company and now he “pulls the curtain back to reveal the inner workings of the mortgage industry” to try to explain why the housing crisis is much worse than people think.
In Greed, Fraud & Ignorance: A Subprime Insider's Look at the Mortgage Collapse, Richard does a great job of explaining how “greed, fraud, and ignorance” were involved in pushing home prices to ridiculously high levels as well as getting borrowers in houses they simply could not afford. He clearly identifies the guilty parties in the subprime mess and provides possible solutions to prevent this problem from happening again.
A Subprime Insider's Look at the Mortgage Collapse explains:
* How nearly three out of every four subprime mortgage originated by brokers were misleading or fraudulent, and which tactics they used to trick lenders and borrowers.
* How the subprime industry played a major role in pushing home prices to unsustainable levels.
* How brokers and lenders used creative financing techniques to turn unqualified applicants into qualified borrowers.
* How the conflicted relationship between Wall Street and the rating agencies is largely to blame for the collapse of the mortgage industry.
* How a comprehensive solution that addresses every level of the food chain is the key to fixing the mortgage industry.
This book is a “must read” for those people who really want to understand what is currently happening to the mortgage market and how this is going to affect the U.S. economy for years to come. You can buy this book on Amazon. I highly recommend it.
Source: By Real Estate Bubble
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