Mortgage crisis expands to prime borrowers in N.H.

New Hampshire housing advocates say they’ve noticed a troubling trend, the mortgage crisis is spreading to prime borrowers. Most of the foreclosures in New Hampshire stem from subprime mortgages made to borrowers who don’t qualify for traditional loans, usually because of bad credit or low income.

Interview: Christopher D’Elia, Vermont Bankers Associaton president

This summer has seen a sharp rise in foreclosures in the subprime mortgage market. Subprime lending refers to the practice of making loans to borrowers who may have problems with their credit history, or are unable to show proof they can repay the loan. This subprime mortgage meltdown has led to a global financial crisis, involving declines in the stock market and the near bankruptcy of several mortgage lenders.