Mortgage failings

Inman News has a pretty interesting clip about a new survey of mortgage deals. One of the more startling facts: one-third of buyers had their home-purchase deals fall through in August, often for mortgage related issues such as failing to qualify under tougher scrutiny or because the lender didn't honor the offer, withdrew from the business or even went bankrupt.

Of borrowers of subprime mortgages, the survey said that more than half who had already signed a purchase and sale agreement had their home purchase deals fall through in that period.

Moreover, Inman reports the survey found that nearly 60 percent of borrowers who have an existing adjustable mortgage that is due to reset, no doubt to a higher rate, were unable to refinance their loans. That suggests another huge wave of foreclosures is coming, as tens of billions of dollars worth of mortgages are facing interest rate adjustments in the coming weeks.