Quote:
Originally Posted by jorian
Non-recourse financing is brutal from a mortgagee's standpoint and I can't understand why any lender would offer them. Remember the S&L debacle from the 80's? Many of those loans were non-recourse.
|
That doesn't make much sense to me.
Home lenders "offer" non-recourse home loans because they have no choice.
Most states have anti-deficiency (i.e., non-recourse) statutes which govern loans secured by real property located within their state. Those statues make the loans non-recourse, as a matter of law.