Part 3/16:
Between 2001 and 2006, lending restrictions loosened significantly. Programs like the NINJA loan—no income, no job, no assets—became common, allowing many to buy homes without proper verification of financial stability. Coupled with variable interest rate mortgages, these practices led to an unsustainable housing frenzy. Buyers purchased multimillion-dollar homes with minimal initial equity, often riding on low teaser rates that would reset higher after a few years.