Home / Quotes / Quote by Mark Zandi

Quote by Mark Zandi

“In a forbearance, the homeowner pays interest and principal on a smaller mortgage, at least for a time, but still owes the full amount. The lower monthly payment helps with affordability, giving stressed homeowners a break.”

Quote by Mark Zandi

Author

Mark Zandi, born in 1959, is an influential expert in the field of economics. He has extensive expertise in economic forecasting, policy analysis, and financial market research, particularly in the areas of financial crises and macroeconomic analysis. more

You May Also Like

“Indeed, the FHA was born out of the Great Depression, which was also caused in significant part by a foreclosure crisis. Mortgages in the early 1930s were mostly three- to five-year 'bullet' loans, which did not amortize and were due in full at maturity.”

Years Three Born Five Crisis Dues Significant Maturity Five Years Bullets Loan Mortgage Great Depression 1930s Foreclosure Dodging Bullets

Author:Mark Zandi

“Investor demand for distressed property has been healthy, as rents rise to levels that can cover investors' costs while they wait for properties to appreciate. Giving investors a small tax break should further juice up demand, supporting prices for distressed homes and the market in general.”

Giving Should Has Beens Home Waiting Levels Break Healthy Cost Demand Taxes Appreciate Property Investors Juice Giving In Tax Breaks

Author:Mark Zandi

“It has become fashionable to rail against government intervention in the economy, and the FHA is a favorite example by those trying to show the government's overreach. In reality, the FHA shows how government action during the Great Recession forestalled a much worse economic fate.”

Trying Shows Reality Government Action Economy Fate Economic Example Intervention Fashionable Recessions Rail Government Intervention Great Recession

Author:Mark Zandi

“Each year one vicious habit discarded, in time might make the worst of us good.”

Years Might Time Liberty Worst Habit Vicious Discarded Quit Smoking Good Habits Year One

Author:Benjamin Franklin

“It is hard to be enthusiastic about the economy's prospects when house prices are falling: Households spend less, small business owners can't use homes as collateral for loans and local governments are forced to cut jobs and programs as property-tax revenue disappears.”

“Lenders look at potential borrowers from many angles before extending credit: How much of its income will a household need to put into debt repayment? How large is the down payment? Does the borrower have a job with a stable income? What is the borrower's credit score?”

Needs Looks Doe Jobs Credit Debt Income Score Stable Household Angle Payment Extending Lenders Borrowers Repayment Credit Scores

Author:Mark Zandi

“The average credit score of today's FHA borrowers is higher than the average American household with a score. As it becomes more costly and difficult to get a FHA loan, loans from private mortgage lenders will become more attractive and their market share will grow.”

Today Grows Difficult Share Higher Average Credit Attractive Score Household Loan Mortgage Lenders Borrowers Credit Scores

Author:Mark Zandi

“The Bush tax cuts should be extended permanently for families with annual incomes of less than $250,000 and should be phased out slowly for those making more than that. Raising taxes on anyone now, when the economic recovery is so fragile, would be a mistake.”

Should Would Be Mistake Cutting Economic Taxes Income Recovery Fragile Annuals Tax Cuts Raising Taxes Economic Recovery

Author:Mark Zandi

“The key to house prices is the share of foreclosure or short sales in the total housing market. When that share rises, house prices will fall, because distressed properties sell for significantly less - currently around 25 percent below non-distressed houses.”

Fall House Share Keys Percent Sells Property Housing Foreclosure Housing Market House Prices

Author:Mark Zandi

“The Obama administration deserves credit for quickly ending the housing free fall. In particular, Obama empowered the Federal Housing Administration to ensure that households could find mortgages at low interest rates even during the worst phase of the financial panic.”

Fall Interest Worst Particular Lows Deserve Rate Financial Credit Administration Panic Household Phases Housing Empowered Mortgage Interest Rate

Author:Mark Zandi