In the curious news of the day, former Fed Chair Ben Bernanke was turned down in his effort to refinance his mortgage.
Bloomberg reports You Know It’s a Tough Market When Ben Bernanke Can’t Refinance.
Ben S. Bernanke said the mortgage market is still so tight that he’s having a hard time refinancing his own home loan.The former Federal Reserve chairman, speaking at a conference in Chicago, told moderator Mark Zandi of Moody’s Analytics Inc. — “just between the two of us” — that “I recently tried to refinance my mortgage and I was unsuccessful in doing so.”
“The housing area is one area where regulation has not yet got it right,” Bernanke said. “I think the tightness of mortgage credit, lending is still probably excessive.”
Questions Abound
- Given that Bernanke makes $250,000 per speech, why does he even have a mortgage?
- How big is it?
- What about Bernanke’s finances? Is Bernanke living beyond his means?
- Is there any chance Bernanke was turned down on purpose as a publicity stunt to highlight a fictitious need for looser mortgage standards?
I cannot quite put my finger on it, but “just between the two of us”, something about this story does not seem exactly as presented.
Perhaps I am wrong and Bernanke just firmly believes the dollar is trash and the Fed will inflate his mortgage away.
Mike “Mish” Shedlock
http://globaleconomicanalysis.blogspot.com