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Re: bmp152 post# 88812

Thursday, 07/11/2013 2:23:41 PM

Thursday, July 11, 2013 2:23:41 PM

Post# of 803848
Great post!

Prior to setting up GSEs, in early 1930s the government actually tried to find private capital to provide financing to the housing market. Back then, mortgages were 4-5 years loans. There was NO private capital willing to step in to do what GSEs do.

Are we ready to go back to getting 4-5 years mortgages with balloon payments? Not at all...