Jay,

It may take years for this to totally shake out. But in the next couple of years, the banks are going to have the cash and it looks like the states are going to pass around the licensing laws.

That being said, the only thing missing from some of the mortages out there was a handle to pull-don;t you think?

There will always be non-conforming financing for non-conformists-somewhere.

Steve

Gee Jay...I got something right?

Obeoman,

lenders/investors who weren't involved are already looking for subprime discounts and evaluating what looks good in today's market.

dispite what the national media publishes i don't believe that the money crunch exists at anywhere near the level that is stated.

you are right on with the somewhere. the sources may change. in a capitalistic society/world where there is demand it is usually fulfilled. the only question is at what price.

Joan,

you get most things right. experience is always a big help.

jay 

Jay, it's the proverbial knee jerk reaction to a crisis and I agree with you that we will end up somewhere in the middle after things begin settling down.  However, sometimes the primary purpose of knee jerk reactions is to get everybody's attention and not necessarily to solve the problem.

George,

i agree to a certain extent. last weeks fed cut sent a jolt into the system. i was in favor of shocking the system, while i'm not to sure we needed the cut.

jay

Jay, that pendulum swinging back and forth makes me crazy.  The problem with this lesson at this time is that by the time we get through this situation and move through recovery and into the next one it will be a whole new group of people who were too young to remember this one.  It's that cyclical nature that means that we will truly never learn!

Kate,

good point. i lived throught the banking crisis, there's that word (crisis) again, and they closed the bank i worked in.

in my opinion that was a lot worse, but there iaren't many of us who lived through, it and are still in the industry.

jay