Prudent borrowers embrace the 43% debt-to-income cap

Debt-to-income lending caps prevent wild swings in house prices based on irrational exuberance, which benefits everyone.

Prudent borrowers generally didn’t participate in the housing bubble. Those who refused to borrow and spend waste their equity watched with pleasure as their net worth… – Prudent borrowers embrace the 43% debt-to-income cap

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