I have been seeing this being discussed. What does it mean and what would happen if there is one and it were to burst?

    • DifferenceEngine [none/use name]
      ·
      3 years ago

      The difference is in the entity taking out the loan. Balloon loans and ARMs were very easy to give out to individuals before the crash, now I think we have more entities on fixed rate mortgages or buying in cash. The make up is different and the crash will look different. I suspect more like a consolidation of landlords then what we saw in 2008 unless the economy gets real rough