This makes no sense. A no-doc loan is precisely that. If an applicant chooses to lie, the government is not responsible. If your claim is that the applicants

This makes no sense. A no-doc loan is precisely that. If an applicant chooses to lie, the government is not responsible. If your claim is that the applicants are being encouraged to commit fraud (by their local mortgage broker), then the government should start with regulating mortgage brokers. That's where the rot started. While it's natural for politicians to point fingers at their opponents, or the Wall Street bogeymen, the reality is that neither party caused the massive run-up in housing prices, and nor did Goldman Sachs.