Quote:
Originally Posted by nmhen
Some thoughts from an American's perspective:
1. The Sub-prime issue is not nearly as big, nor as far-reaching as the media etc is making it out to be. Consider the following:
A. There are about 44 million mortgages in the US
B. Less than 14% of which are sub-prime mortgages (SPM) (roughly 1.96 million)
C. About 13% of SPM are late on payments (250k)
D. So 250,000 out of 44,000,000 (0.6
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That's somewhat reassuring, but those 0.6% have already caused the downfall of many lending companies, and the biggest one in America, Countrywide Financial, may end up going
bankrupt. Still, I hope you're right.