Countrywide, the company who seems to be the public face of the housing crunch announced more bad news that their portfolio is currently weakening more than expected. The company had offered bad credit mortgages with an APM option, which allowed customers the ability to pay less on their interest payments every month, which resulted in bigger debt and then many failed to pay at all. The company lost $1.6 billion in 2007 as the result of bad credit mortgages and other banks quickly followed that trend.The outlook for the bad credit mortgage market seems to be a little grim, at least for 2008, but experts believe that this will turn around in 2009. If you need a bad credit mortgage, you may be better off waiting for the turnaround which is expected to come sooner or later. If you already have a bad credit mortgage, analysts are recommending that you keep trying to make payments despite the crunch and just hang on until things do change. The housing market is always in flux and what goes down must sooner or later come back up. Check with a financial advisor if you need a bad credit mortgage now to see what your options may be.
Related reading: Bad Credit Mortgages
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