Speculation, Flippers Fueled Housing Bubble: NY Fed

Law360, New York (December 12, 2011, 7:57 PM EST) -- Real estate investors with multiple mortgages played a bigger role than previously thought in pumping up the housing bubble whose collapse pushed the U.S. into a recession, according to a Federal Reserve Bank of New York report released last week.

The report examined borrowing trends from 2000 to 2010 and showed that a large share of mortgages during prerecession years — especially in hard-hit states like Arizona, California, Florida and Nevada — went to borrowers who already owned at least one house, particularly to those who sought...
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.