I once heard a Fairy Tale about an Honest Banker and a Hill Troll. The Troll, lets call him Bill, went to the Honest Banker, lets call him Steve, and said, “I want to borrow money so I can fix up my Cave, sell it, and move into one under a bridge. There is a real nice one not far from here that is under an eight lane overpass, but I just don’t have enough money for it right now.”
Steve said to Bill, “fill out these papers, get an appraisel from Inflated Property Appraisers, and come back to see me”.
So Bill took his forms, went to the Inflated Property Appraisers and came back the next week. Steve looked at the papers.. HHHHMMMM. Bill would never be able to pay the load back, and with this market he would never be able to sell his old cave so, when you ran out of money they could sell the mortgages to some other schmuck. Steve looked at Bill, “this will be fine, here is your money”, and gave him a check.
Bill went off and bought his new Cave. Later, since he was not able to sell the old cave, the two mortgages eat up his saving, and he was foreclosed on, and had to move into a sewer pipe.
What? you say. Where is the Honest Banker?
I told you this was a Fairy Tale.. you should remember, there is NO SUCH THING AS AN HONEST BANKER.
Bill, on the other hand, may be living in a Sewer Drain near you.