ViceZilla’s Views

Karma can be considered a cantankerous female dog at times, but sometimes it is refreshing to see it strike back so quickly to those that take it for granted. In a refreshing twist of irony, the same people who brought chaos to the housing market and caused mortgage interest rates to skyrocket are getting a dose of their own bad medicine.

A year ago, the Mortgage Bankers Association was thrilled to sign a contract to buy a fancy new headquarters building in downtown Washington. Interest rates were low, the group’s revenues were steady and the prospects for quickly renting out part of the structure were strong.

But since then, the association has fallen on tough times as many of the subprime mortgages dispensed by some of its members proved dicey. The result:

The trade group is about to find it harder than it imagined to pay its own mortgage.

Scheduled to close on the building in the coming weeks, the association will have to pay millions of dollars more than it would have a year ago when it contracted to buy the 160,000-square-foot structure — millions of dollars it is now less able to afford.

I’m pretty sure the Mortgage Bankers Association won’t be getting any sympathy from those that they screwed, nor should they. This only goes to prove that Karma will indeed bite you in the ass sooner or later!

Technorati Tags: Mortgage Bankers Association, Mortgage Crisis, Interest Rates, Foreclosure, Karma, Irony

Tags: Economy //