Posted by Brent_IL on September 22, 2003 at 01:14:42:
A reference from an econ class attended 30+ years ago popped into my head. The guy’s name was Alfredo Pareto. He was an economist in the late 1800’s. His thing was the critical few v. the trivial many. I couldn’t remember his last name until I read your post. Thanks.
Posted by JT-IN on September 21, 2003 at 16:40:24:
80% of Banks/Lenders won’t, which means 20% of them will…
You simply are dealing with the higher risk lenders with credit scores in that range. The equity of 30% does reduce the risk, and therefor some of them will do the deal, based on the reduced risk.
Before you ask for a reference on that 80/20 estimate, I pulled that number out of the closet, when searching for something else that I had misplaced… so it is meaningless, but represents a good guess.