Bohemia, NY (PRWEB) October 10, 2012
On October 10, 2012, collection agency Rapid Recovery Solution comments on an article stating that there is an increase in larger mortgage and housing loans by banks and private lenders.
According to an article by The Orange County Register, this sudden jump in jumbo mortgage loans can be attributed to an experimental phase of lending by banks to prospective homeowners looking to buy high-end and luxury homes. The article elaborates by stating that jumbo mortgage loans are high-risk, high-reward loans for the banks since they have higher interest rates but also carry a risk that the borrowers will be likely to default or skip out on the loans as opposed to smaller mortgage loans. The article states that as the economy and market improves, banks are more inclined to offer these loans as homeowners are less likely to bail on them, although lenders are still careful about who they give these loans out to.
Rapid Recovery Solution CEO, John Monderine, commented on the rise in jumbo mortgage loans, praising the positive prospects on the credit market as a result of more lending and fewer mortgage defaults as a result. “It's a positive sign that banks are finally starting to lend again. This will help businesses reestablish lines of credit,” Monderine said.
Banks being more willing to give out high-rate loans to borrowers marks improving conditions since the stand-still that was common between lenders and borrowers during the recession is finally starting to wane. Rapid Recovery Solution agrees that prospects within the market are looking up when lenders are more open to lending and borrowers are more inclined to take out loans that they will actually be in a position to pay back.
Founded in 2006, Rapid Recovery Solution, Inc. is headquartered at the highest point of beautiful Long Island. Rapid Recovery Collection Agency is committed to recovering your funds. We believe that every debtor has the ability to pay if motivated correctly. We DO NOT alienate the debtors; instead we try to partner with them and offer a number of ways to resolve not only your debt but also all their debts.