This was a good article, I am glad someone posted it.
The very end summed it up.
"It's got to get worse before it gets better, said Michael Davin, executive vice president of Catalist Homes in Hermosa Beach, echoing the new mantra of the real estate business.
"We need a shakeout to stabilize the market," he said. "Lenders are going to have to start cutting prices big time."
"Mortgage broker Ruben Perez started seeing lenders change or eliminate their mortgage programs for riskier sub-prime loans about six months ago, and they seemed to do so every quarter. Then lenders started sending brokers notification of changes every month. Within the last week or so, their notices started coming every day and included changes in loan programs affecting even the best borrowers.
