Creative Mortgage Crisis - Creative Mortgage Fix

The current mortgage melt-down is blamed on a lot of different groups and mortgage types. Suffice it to say that a great many home buyers received mortgages that weren't right for them. Whether they were ARM's, Two-Steps, Lender Buydowns or some other "creative" loan, the effect is now being felt in the marketplace.

It's really interesting that the Fed Chief, Ben Bernanke, is recommending "developing a broader range of mortgage products which are appropriate for low-and moderate-income borrowers" in a letter to Senator Charles Schumer. In an article at SeekingAlpha.com, Herb Greenberg suggests that cuts in interest rates coupled with falling home prices might just make standard mortgages more obtainable, and not require more "creativity." Maybe waiting to see is a good idea.