Housing Crisis Hits Its Own

How ironic.

Washington Post

A year ago, the Mortgage Bankers Association was thrilled to sign a contract to buy a fancy new headquarters building in downtown Washington. Interest rates were low, the group's revenues were steady and the prospects for quickly renting out part of the structure were strong.

But since then, the association has fallen on tough times as many of the subprime mortgages dispensed by some of its members proved dicey. Borrowers discovered the loans were more costly than they had anticipated. Foreclosures soared, and cheap, inexpensive credit dried up, slowing the economy.

Certainly, I am not feeling much sympathy. This association did nothing to police its industry. Instead, it merely reveled in the gluttonous profits of predatory lending practices. Let them eat cake.