Monday, March 31, 2008
Housing markets and foreclosures
Debt problems are accelerating and expanding from mortgages to home equity, auto, Credit card, student loans, small business finance, munis and corporate Credits. At the same time, Wall Street has been significantly tightening lending requirements for the leveraging of all types of debt instruments. While the focus has been on mortgage Credit, recent deterioration in other types of loans - and, importantly, the leveraged holders of large amounts of this debt - have major consequences for Credit Availability throughout the Economic Sphere. Housing markets and foreclosures are obviously major issues.