The best thinking about mortgage refinancing
Those practices offered subprime loans to consumers who were not eligible for traditional mortgages. Other consumers simply bought a home priced beyond their means, sometimes with an adjustable rate mortgage that has since reset, and are now struggling to make those mortgage payments. Mortgage insurers are now having to cover those mortgage foreclosures. That is quite a contrast to just two short years ago, when private mortgage insurance was one of the most lucrative types of insurance offered by companies. Mortgage insurers like MGIC are hoping to utilize some of the $700B from the federal bridge loan to help them through 2009.