In a move that could help increase home ownership rates among minorities and low-income consumers, the Fannie Mae Corporation is easing the credit requirements on loans that it will purchase from banks and other lenders.
The action, which will begin as a pilot program involving 24 banks in 15 markets — including the New York metropolitan [...]
Continue reading about NYT Revealed True Cause of Fannie Mae Crisis — In 1999!
Over 150 lenders have already gone out of business since the peak of the sub-prime orgy.
This year over 1,000,000 yes, one million individual foreclosures are expected to happen.
Over $300,0000,000,000 that’s three hundred billion dollars of loans have been written off by the lending institutions and the best estimate is we are a little over half [...]
Continue reading about The State of the Housing Market for 2008
Bank of America is in talks to take over Countrywide in an all stock transaction. The announcement could come as early as today.
This will be interesting to watch because although Bank of America infused over $2 Billion dollars into Countrywide in the summer of 2007 in the form of loans, they are not Countrywide’s primary [...]
Cash is King and the best deals will always be had by those with the means to act quickly and decisively.
There are some media reports talking about some very well funded groups taking advantage of the housing market problems, especially in Florida. Many of these reports try to portray these groups as predatory and swooping [...]
Continue reading about Will Institutional Money Freeze Out the Small Investor?
This is a soft number, the expectation was about 130,000.
But, grow is stable and the overall unemployment number is still relatively stable at 4.6%.
Based on this the Fed is not likely to change the overnight rate.
Many are still calling this a Goldilocks situation. To a large degree they are right.
The jobs numbers continue to be [...]
Continue reading about July Job Numbers 92,000 Below the Expectations
The Mortgage Bankers Association is reporting a 50% reduction in the number of loan originators from the peak of the sub-prime boom time.
50% reduction!
This is actually a very good thing and is part of the shakeout needed to start to get the industry back on track.
But, 50% is not enough, it is very likely we [...]
In June I talked about why lenders don’t do more short sales. So, it should come as no surprise the lenders are facing increased pressure from the investors who bought the packaged loans to hold the line on modifications. They are pressing the servicing companies to only modify the loan when it looks like there [...]
Continue reading about Lenders Face Obstacles in Loan Modifications
It is a very valid comparison. See, CDO Hedge Funds = Enron?
But, what does it mean to the larger market and especially to small to medium real estate investors?
It depends.
If you are using these hedge funds as part of your investing strategy, you probably have a lot to worry about.
If you are heavily leveraged in [...]
Continue reading about People are Starting to Compare CDO Hedge Funds to Enron.
Seems that more than a few hedge funds were betting against the sub-prime mortgage backed securities. I guess they forgot the options available to the underwriters…
http://www.realestatejournal.com/indinvestor/20070608-kelly.html
http://www.realestatejournal.com/indinvestor/20070613-kelly.html
Are you tired of expensive seminars and boot camps long on hype and short on help?
Are you tired of gurus pushing expensive coaching programs to get questions about their books [...]
Continue reading about Sometimes Even Hedge Funds Get It Wrong
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