Alternative Mortgage Transaction Parity Act - AMTPA  Dictionary
Says  Definition of 'Alternative Mortgage Transaction Parity Act
- AMTPA'  An act from 1982 that over-rode many state laws that
prevented banks from using mortgages other than conventional
fixed-rate mortgages. This act allowed for the total costs of
loans to become obscured, and led to the availability of various
new mortgages such as adjustable rate mortgages (ARMs), interest
only mortgages, and ballon payment mortgages. Investopedia Says
Investopedia explains 'Alternative Mortgage Transaction Parity
Act - AMTPA'  Many believe that this act is the basis of the
sub-prime crisis of 2007, which led to the financial crisis of
2007-2009. Many mortgage borrowers in the early 21st century
obtained mortgages that they failed to understand. As borrowers
began to lose their homes due to defaulting on their mortgages,
house prices began to spiral downward making it even more
difficult for people to refinance their homes into more
affordable mortgages.  A