Subprime Ireland

Ekancone

How much of Irelands mortgage market is based on subprime lending? I read an article from back in March 2007 that said Irelands subprime market is one the fastest developing. Is Ireland's economy under much threat from a potential wave of foreclosures?

Discuss.

Time Magazine

I'm not sure how much we're in that end; though "fastest developing" is often a euphemism for under-exploited. I imagine our oligopolistic banking market could take a nuclear strike and stay intact, though.

As an interesting tangent/corollary, can the need for banks to abate liquidity fears be used to justify excessive profits?

silverharp

we are way behind the states and UK which is good but in any bubble marginal buyers are going to be sucked in at the end and given the 100% morgages there is an incentive to walk from a property if there is a significant reduction in prices

kaiser sauze

I firmly believe that the ripples have already hit.

In my line of work I am in a position to note a sharp increase in judgments and installment orders. Repossessions are up slightly, but are still a real last resort for lenders. Judges are very reluctant to rule this way, preferring to focus on the ability of the person to pay.

Add to that the growing percentage of the population who have a less than exemplary credit history, and get pushed into these loans.

It has started, whether it will explode or not is open to debate.

themadchef

Can someone explain what exactly a subprime mortgage is? and why it's all going so wrong.



God, i feel like yer man........."i don't know what a tracker mortgage is" lol

Thanks

silverharp

themadchef wrote: »

Can someone explain what exactly a subprime mortgage is? and why it's all going so wrong.



God, i feel like yer man........."i don't know what a tracker mortgage is" lol

Thanks

try this
http://www.youtube.com/watch?v=SJ_qK4g6ntM