2008-03-27 Equity Loans as Next Round in Credit Crisis

Specs

Date:	2008-03-27
Link:	http://www.nytimes.com/2008/03/27/business/27loan.html
Source:
Topics:	US economy New York Times/articles
Categories:	US economy New York Times/articles

Equity Loans as Next Round in Credit Crisis

“As the housing market spirals downward, home equity loans, which turn home sweet home into cash sweet cash, are becoming the next flash point in the mortgage crisis. .. Americans owe a staggering $1.1 trillion on home equity loans — and banks are increasingly worried they may not get some of that money back. .. To get it, many lenders are taking the extraordinary step of preventing some people from selling their homes or refinancing their mortgages unless they pay off all or part of their home equity loans first.”