2. Underwriting guidelines have continually been relaxed (to qualify just about everyone) over the last few years to accommodate additional volume of business which have benefited CEO’s, Mortgage companies, Brokers, Originators, Investors, Appraisers, etc.

3. The rationale has been to put more people in homes(which has put people in homes they could not afford) leading to the delinquency and foreclosure problem at hand.

4. The overall bending of rules to qualify has contributed to this dilemma; examples:

A. Over appraising of homes to put closing cost into appraised value so home buyer does not have to put down any funds down at closing or very little.

B. Appraiser continually coming up with appraised value’s to accommodate all closing.

C. Loose underwriting guidelines-poor credit, inability to repay (no income verification) overlooking all reasons for repayment, just for the sake of showing large volumes of business to investors.

5. A complete revamping of lending practices is needed as congress is now doing. However, too much tightening would do more harm than good. All persons causing the current dilemma should be held responsible, creating a more stable environment for future lending.