Risky Mortgage Bonds Return as Delinquencies Pile Up

The video discusses non-qualified mortgages, which are loans given to borrowers with less than perfect financial records, such as freelancers or those with past bankruptcies. Despite higher default rates, investors are optimistic due to a strong housing market. The video also compares these mortgages to subprime loans from 2006-2007, noting differences in borrower credit scores and market conditions.

What are non-qualified mortgages and how do they differ from traditional mortgages?

What factors might lead a borrower to be classified as non-qualified?

Why are investors currently bullish on the housing market despite some risks?

How does the current housing market compare to the market in 2006-2007?

What characteristics define a prime borrower in the context of non-qualified mortgages?