WSJ Article

[Steve Owen]

Tuesday, August 20, Wal Street Journal, page D1.

Title: "C'mon, My House Is Worth More Than That"

According to the article, pressure is coming from homeowners now, not just mortgage brokers. lol. Inflated appraisal can put the homeowner at risk.

Even with historically low interest rates, nearly 1% of the 34 million loans tracked by Loan-Performance were either in foreclosure or 90 days or more delinquent at the end of May, the highest level since the end of 1999....

Article is by Sheila Muto, and is well-written. WSJ may be the best daily newspaper in the country, in my opinion. Unfortunately, like most articles, it just skims the surface. However, it does point out something interesting for those who believe our problems will go away if mortgage brokers are taken out of the appraisal ordering business and that is the pressure will simply come from a different source.

Many homeowners are piling on debt that will make them vulnerable if the economy slows or interest rates rise.