Mortgages are the traditional key to U.S. homeownership. But a multitude of risky home loans, many of them made without documenting borrowers’ incomes, dashed the dreams of millions of Americans as the housing bubble burst, sending shock waves of foreclosures across the country. In reaction, the Federal Reserve has pushed interest rates to record lows, creating opportunity for those borrowers who can qualify for mortgages under the tight lending standards imposed after the meltdown.
Test your knowledge of the volatile mortgage market with this quiz from the LA Times. Click here for the quiz and please let us know how you do!