How Broken Is the Mortgage Market?

The transcript discusses the challenges in regaining private capital due to trust issues among investors, services, and originators. It highlights the need to loosen lending standards to boost mortgage origination volume. The blame for the financial crisis is shared among various parties, including banks, regulators, and brokers. The debate on eminent domain as a solution for underwater mortgages is critiqued, with emphasis on localized issues and potential investor losses. The transcript concludes with investor perspectives on mortgage investments and the outcomes of holding them over time.

What is a major reason for the lack of private capital in the mortgage market?

• High interest rates

• Government regulations

• Economic recession

• Lack of trust among market participants

Who is primarily blamed for the financial crisis according to the transcript?

• Only the banks

• Only the investors

• Everyone involved in the mortgage process

• Only the regulators

What is the current status of homes with negative equity compared to two years ago?

• It has slightly increased

• It has decreased significantly

• It has increased

• It has remained the same

What is the stance of the Association of Mortgage Investors on eminent domain?

• They have no opinion

• They oppose it

• They are neutral

• They support it

What was the proposed solution for San Bernardino County's budget gap?

• Using eminent domain to acquire loans

• Issuing new bonds

• Increasing taxes

• Cutting public services

What was the outcome of the San Bernardino County meeting regarding eminent domain?

• The proposal was accepted

• The proposal was rejected

• The proposal was postponed

• The proposal was modified

How have investors fared if they held onto mortgages for several years?

• They have broken even

• They have made a fortune

• They have incurred losses

• They have seen no change