01/29/2020
Interesting article here. My personal opinion on the potential effects of this are as follows; I think it will be great for housing market prices in the short-mid term due to influx of performing buyers and more actionable demand. Long term seems questionable if it’s too unregulated and not watched over tightly.
The whole point of creating more stringent underwriting and regulation was to prevent banks lending predatorily and to keep the risk model sustainable. Very curious to see how this unfolds.
Some worry that easing mortgage rules could lead to another lending crisis.