I have had nice time attending holiday parties recently and have been interested to hear my friends express worry about the subprime mortgage market and a return to the mortgage crisis.

In many of the predictions for 2015 we also hear that our millennial generation is going to enter the first-time homebuyer market this year as the economy is getting better and unemployment is down. We have also heard predictions that interest rates are going to start going up.

I think this article from the Wall Street Journal addresses the topic well and points to tighter lending standards.

Through open houses I have met many first-time home buyers and a few of them have been very disappointed that they still could not qualify for a mortgage. Despite having two incomes their debt-to-income ratio is still too high considering their student loans.