Mortgage Broker Industry

[Max Slivens]

Why has there been such an uproar in the Surety Industry over the increase in home foreclosures? I've even heard that some sureties are cancelling and/or requesting 100% collateral to be posted on their Mortgage Broker Bonds. Isn't that a tad bit of an over reaction?? I've heard others underwrite them carefully, but still entertain them for qualified applicants.

[Bond Magician]

I agree that they are over-reacting, but with careful and considerate underwriting, that line of business will remain profitable, regardless of the turmoil in the industry.