Register or Sign in        Email This Page     Link To This Page    
Visit MND at MBA in NYC!
2,000,000
# of Visitors Per Month
Select a Date
Use the calendar to view news headlines from a specific date.
Today  |  Yesterday  |  Random
"Mortgage Rates Improve on Weak Data, Greece Jitters"
Published: 2/14/2012
Bottom Right Default
State Name: District of Columbia
State Name underscore: District_of_Columbia
State Name dash: District-of-Columbia
State Name lower underscore: district_of_columbia
State Name lower dash: district-of-columbia
State Name lower: district of columbia
State Abbreviation: DC
State Abbreviation Lower: dc
Suggest a Story
Paste the URL of the story below to submit for editorial review and possible inclusion in ATW.
What is Around the Web?
It is a continuously updated stream of news from around the web
Visit throughout the day for the latest breaking news.
» Click any link below to read more.
  • Fri, Jan 30 2009
  • 11:04 PM » Federal regulators shut 3 more banks; 6 this year
    Published Fri, Jan 30 2009 11:04 PM by Washington Post
    WASHINGTON -- Federal regulators closed three banks on Friday _ one each in Utah, Florida and Maryland _ bringing to six the total number of failures this year.
    Click Here to Read the Full Article

    Source: Washington Post
  • 11:03 PM » Feds allege plot to destroy Fannie Mae data
    Published Fri, Jan 30 2009 11:03 PM by Washington Post
    HAGERSTOWN, Md. -- A fired Fannie Mae contract worker pleaded not guilty Friday to a federal charge he planted a virus designed to destroy all the data on the mortgage giant's 4,000 computer servers nationwide.
    Click Here to Read the Full Article

    Source: Washington Post
  • 11:02 PM » 5 Steps to Fix the Banks
    Published Fri, Jan 30 2009 11:02 PM by www.portfolio.com
    A s the liquidity crisis continues, the problem is clear—it's the solution that remains opaque. The problem with the U.S. banking system is simple: It's largely insolvent. Banks have far too little capital to supply the credit needed to finance recovery let alone growth. The insolvency problem is centered around so-called "toxic" or troubled assets that banks hold in great amount and which are today worth far less than cost—generally securitized residential home loans. But the problem of insolvency is centered around toxic assets only in the sense that the problem of a burning house is "centered" around the place the fire started. As Congressman said the last time we faced a severe depression, once a fire is raging, the most important issue is how to put it out—not to locate the point of origin. The United States must provide "rescue capital" to its banks and needs to do so now because private capital markets cannot. However, rescue capital should be provided only on terms that maximize the prospect of recovering it along with a full and fair return. Governmental capital must not be provided to subsidize current investors in these institutions or to relieve the institutions themselves from past errors. How then can we swiftly recapitalize the banking system? Here are five simple principles that should guide the effort: If a bank is nearing insolvency (or is already insolvent) and seeks rescue capital from the government, that capital should be provided only on terms at least as favorable to taxpayers as those that a stable and thriving private capital market would demand. In other words, we should insist on terms at least as favorable as those that private investors typically demand to refinance an imperiled business trying to avoid liquidation in normal economic circumstances. If new capital is not available to banks from private sources, including importantly rights offerings addressed to their incumbent shareholders, then the...
    Click Here to Read the Full Article

    Source: www.portfolio.com
  • 11:02 PM » U.S. Must Attack Foreclosure Rates
    Published Fri, Jan 30 2009 11:02 PM by Washington Post
    The government's efforts to combat the worst financial crisis since the 1930s can be divided into three phases.
    Click Here to Read the Full Article

    Source: Washington Post
  • 11:02 PM » Banker warns of risk of political interference
    Published Fri, Jan 30 2009 11:02 PM by www.ft.com
    The bail-outs of Citigroup and Bank of America could distort the market if the US lenders succumb to political pressure when making lending decisions, a senior executive at JPMorgan Chase has warned
  • 3:29 PM » Meredith Whitney to banks: Deal with it
    Published Fri, Jan 30 2009 3:29 PM by CNN
    Banks are looking for a second chance to dump some toxic waste from their balance sheets on the hope that the Obama administration will set up a "bad bank" to buy massive amounts of their troubled assets.
  • 3:29 PM » Senator: Cap pay at $400K for Wall Street 'idiots'
    Published Fri, Jan 30 2009 3:29 PM by CNN
    One day after President Barack Obama ripped Wall Street executives for their "shameful" decision to hand out $18 billion in bonuses in 2008, Congress may finally have had enough.
  • 3:29 PM » Simon: New Mall Construction "Dead for a decade"
    Published Fri, Jan 30 2009 3:29 PM by Calculated Risk Blog
    From Bloomberg: (hat tip Sam) David Simon [Chief Executive Officer, Simon Property Group Inc., the biggest U.S. shopping mall owner] ... said the company doesn’t plan to begin construction on new projects or major redevelopments in 2009 and there will be little new U.S. retail construction for years to come. “The new development business is dead for a decade,” Simon said on today’s call. “Maybe it’s eight years. Maybe it’s not completely dead. Maybe I’m over-dramatizing it for effect.” In Q3, investment in U.S. malls was at a $33 billion annual pace, but that includes renovations (there are always renovations). Still I'd expect mall investment to decline in half or more by the end of 2009. I'll have more on mall investment in a few days (when the supplemental GDP data is released).
    Click Here to Read the Full Article

    Source: Calculated Risk Blog
  • 2:44 PM » Geithner, Bernanke work on $700B bailout overhaul
    Published Fri, Jan 30 2009 2:44 PM by Washington Post
    WASHINGTON -- Treasury Secretary Timothy Geithner is meeting with top government officials to develop the administration's plan for overhauling the $700 billion bailout program and improve regulation of the financial system.
    Click Here to Read the Full Article

    Source: Washington Post
  • 2:43 PM » Banks Sitting On An Inventory Time Bomb: Your Emails
    Published Fri, Jan 30 2009 2:43 PM by CNBC
    Posted By: My last blog post Banks Sitting On An Inventory Time Bomb set off quite a stir among readers, and I think it bears more reporting. Topics: | | | Sectors: |
  • 2:42 PM » Citi Field or Bailout Ballpark?
    Published Fri, Jan 30 2009 2:42 PM by CNN
    The government forced Citigroup to cancel its order for a brand new $50 million corporate jet. Now, two Congressmen are hoping that the Obama administration will convince the beleaguered bank to scrap its naming rights deal with the New York Mets.
  • 2:41 PM » CEOs say overhaul of bank bonuses on the cards
    Published Fri, Jan 30 2009 2:41 PM by Washington Post
    DAVOS, Switzerland (Reuters) - Top executives meeting in Davos say the bonus culture that drove financial investments on Wall Street faces a major overhaul as bankers humbled by the financial crisis prepare to curb excessive pay.
    Click Here to Read the Full Article

    Source: Washington Post
  • 2:40 PM » Former Fannie Mae Employee Attempted to Destroy All Data
    Published Fri, Jan 30 2009 2:40 PM by www.thetruthaboutmortgage.com
    A former Fannie Mae contracted employee was indicted for computer intrusion this week for allegedly planting a malicious script on the company’s servers in an effort to wipe out all its data. A federal grand jury indicted Rajendrasinh Babubhai Makwana earlier this week; he is scheduled to be arraigned today and faces up to 10 years [...]
    Click Here to Read the Full Article

    Source: www.thetruthaboutmortgage.com
  • 2:40 PM » Friday Diversion: John Edwards’ Former Home Listed for $9.95 million
    Published Fri, Jan 30 2009 2:40 PM by Wall Street Journal
    Click here to see photos of the former Washington, D.C., home of John Edwards. Washington Fine Properties John Edwards’ former home Washington home hits the market with an asking price of $9.95 million. The former North Carolina senator bought the four-story townhouse in 2002 for $3.8 million and sold it in December 2006 as he started his campaign for the 2008 Democratic presidential nomination. Paul and Terry Klaassen, co-founders of Sunrise Assisted Living, a firm that houses and cares for the elderly in Virginia, bought the home for about half the current asking price and have since renovated it. () Actor Nicolas Cage cuts the price on his Los Angeles house to $19.75 million. The house, which Mr. Cage first listed in October 2006, was once home to singers Dean Martin and Tom Jones. . () Hollywood producer Brian Grazer takes his Los Angeles house off the market. He had listed the property for $27.5 million more than a year ago. Michael Smith, who is currently decorating President Barack Obama’s White House quarters, designed the interiors. () Adam Duritz of the band Counting Crows lists his Beverly Hills home for $8.25 million. The six-bedroom, six-and-a-half-bathroom house includes a private screening room, a pool and a spa. () Antivirus software creator John McAfee cuts the price of his four-bedroom, five-bathroom home in Hawaii from $4.9 million to $3.7 million. The newly constructed house is 5,796 square feet and is located on 5.3 acres. () Former New England Patriot quarterback Drew Bledsoe cuts the price on his home in Westlake, Texas’s gated Vaquero community to $1.625 million. He bought the property new for $1.7 million in 2005. He listed the house a year ago. Mark Teixeira, now of the New York Yankees, delisted his $5.75 million one-acre property, also in Vaquero, after putting it on the market last February. () A home for Hollywood’s elderly will have to close by the end of the year due to financial problems. () Arizona home builder Five Star Development...
    Click Here to Read the Full Article

    Source: Wall Street Journal
  • 2:40 PM » In Condo Terms, Atlanta Is the New Miami
    Published Fri, Jan 30 2009 2:40 PM by Wall Street Journal
    Jonathan Karp reports: In the blighted condominium market, Atlanta may be the new Miami. That’s the conclusion of Ackerman-Trinity Advisors, a research firm in the Georgia capital. In a report on Inc., whose bank subsidiary is a provider of condo-construction loans, Ackerman-Trinity notes that the Chicago lender made $910 million in loan commitments for more than a dozen metro-Atlanta condo developments between 2004 and 2007. Those projects represent nearly 3,800 condo units, of which only 1,836 have been sold. One of the loans has been substantially repaid, while Corus has taken possession of another project. By mid-2009, Corus will have fully funded the Atlanta projects and will have some $543 million in unpaid principal secured by 1,500 unsold condos, Ackerman-Trinity estimates. “This could be Miami all over again,” the report says. Corus, which reports its fourth-quarter earnings on Friday, has posted losses in the previous two quarters amid rising provisions for nonperforming loans, mostly in Miami and South Florida. So far, Corus hasn’t set aside any reserves for Atlanta projects, citing two mortgages worth $27 million as potential-problem loans. A Corus spokesman couldn’t be reached for comment. Buttressing Ackerman-Trinity’s bearish outlook for the Atlanta condo market, Haddow and Co., another Atlanta-based real-estate research firm, released a report this week showing that condo sales fell dramatically last year even as new buildings neared completion. Only 66 Atlanta units were sold in the second half of 2008, and just 645 were sold in all of last year. That is down from 1,704 units sold in 2007 and a peak of 4,747 condos sold in 2005.
    Click Here to Read the Full Article

    Source: Wall Street Journal
  • 11:33 AM » Meredith Whitney doesn't like BARF
    Published Fri, Jan 30 2009 11:33 AM by feeds.feedburner.com
    Per CNBC: She's dubbing the "Bad Bank" part of the good bank / bad bank idea being floated the HTML clipboard "Bank Asset Repository Fund", or BARF for short. Catchy name. LOL
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 11:32 AM » 3 Tips for Renegotiating Your Mortgage
    Published Fri, Jan 30 2009 11:32 AM by loanworkout.org
    If you’re willing to make your loan payments, you’re already way ahead of the many borrowers who have walked away from their homes, says Moe Bedard, president of LoanSafe Solutions. The upshot? Banks have more incentive than ever to work with you. Plunging property values mean they’re recovering less now on foreclosures. Plus, many that received cash infusions from the U.S. Treasury are under pressure to show that they’re responding to the housing crisis. Take advantage.
    Click Here to Read the Full Article

    Source: loanworkout.org
  • 11:31 AM » Ohio Attorney General Sues Two Loan Modification Firms
    Published Fri, Jan 30 2009 11:31 AM by loanworkout.org
    Ohio Attorney General Richard Cordray has filed a lawsuit against two Cincinnati-based foreclosure rescue companies accused of failing to deliver on their promises to save consumers from foreclosure. The suit, filed in the Hamilton County Court of Common Pleas, charges Foreclosure Assistance USA, Inc. (FA USA) and American Foreclosure Professionals, Inc. (AFP) with several violations of Ohio consumer protection law.
    Click Here to Read the Full Article

    Source: loanworkout.org
  • 11:31 AM » Freddie Mac Extends Eviction Halt Until March
    Published Fri, Jan 30 2009 11:31 AM by feeds.foxbusiness.com
    Freddie Mac Extends Eviction Halt Until March
    Click Here to Read the Full Article

    Source: feeds.foxbusiness.com
  • 11:31 AM » Morgan Stanley, Goldman Sachs considering more job cuts: report
    Published Fri, Jan 30 2009 11:31 AM by Market Watch
    BOSTON (MarketWatch) -- Morgan Stanley and Goldman Sachs Group Inc. are reportedly considering more job cuts as the once-mighty investment banks adapt to much leaner times on Wall Street.
  • 8:56 AM » Goldman: Bank Rescue May Reach $4 Trillion (and "Bad Bank" Issues)
    Published Fri, Jan 30 2009 8:56 AM by Google News
    Goldman, in a research note , says the total tab for the US bank rescue operation could run as high as $4 trillion: The cost of restoring confidence in U.S. financial firms may reach $4 trillion if President Barack Obama moves ahead with a "bad bank" that buys up souring assets. The figure far exceeds even the most pessimistic estimates of how great the loan losses might be because there is so much uncertainty about default rates, which means the government may need to take on a bigger chunk of bank debt to ease concerns. Goldman Sachs economists said ideally the public sector would step in to remove the hardest-to-value assets, which would alleviate nagging worries about future losses and hopefully help get lending going again. "Unfortunately, with an unprecedented meltdown in mortgage credit and a deep recession in the broader economy, there is a great deal of uncertainty about the value of almost every asset,"... Goldman Sachs estimated that it would take on the order of $4 trillion to buy troubled mortgage and consumer debt. That number could shrink if the program were limited to only certain loans or banks, but it could also grow if other asset classes such as commercial real estate loans were included. New York Sen. Charles Schumer has said that a number of experts thought that up to $4 trillion may be needed to buy the bad assets, an estimate that a Senate aide said was based on informal conversations with people in the industry. Given the acute need the perps have for more dough, "informal conversations with people in the industry" are the functional equivalent of lobbying. Now admittedly, Nouriel Roubini, who is both bearish and so far, quite accurate in calling the trajectory of the crisis, pegs. But he has only $1.9 trillion of that with US firms, and his totals include unsecuritized loans, and appear to include commercial real estate loans, which the Goldman note excluded. I'd love to know how anyone can defend a number more...
  • 7:53 AM » WSJ: Option ARM Defaults Rising
    Published Fri, Jan 30 2009 7:53 AM by Calculated Risk Blog
    From Ruth Simon at the WSJ: (hat tip ShortCourage) Nearly $750 billion of option adjustable-rate mortgages, or option ARMs, were issued from 2004 to 2007, according to Inside Mortgage Finance ... Rising delinquencies are creating fresh challenges for companies such as Bank of America Corp., J.P. Morgan Chase & Co. and Wells Fargo & Co. that acquired troubled option-ARM lenders. ... As of December, 28% of option ARMs were delinquent or in foreclosure, according to LPS Applied Analytics ... An additional 7% involve properties that have already been taken back by the lenders. ... Just over half of subprime loans were delinquent, in foreclosure, or related to bank-owned properties as of December. The nearly $750 billion of option ARMs issued from 2004 to 2007 compares with roughly $1.9 trillion each of subprime and jumbo mortgages in that period. Nearly 61% of option ARMs originated in 2007 will eventually default, according to a recent analysis by Goldman Sachs ... If 61% of the $750 billion in Option ARMs default, and with a 50% loss severity, the losses to lenders will be about $225 billion - far less than for subprime, but still a huge problem. The key problem with Option ARMs is that they were used as affordability products, mostly in California and Florida, because buyers couldn't qualify for fixed rate mortgages or even regular ARMs. It should have been no surprise that most borrowers chose the negatively amortizing option; it was the only one they could afford!
    Click Here to Read the Full Article

    Source: Calculated Risk Blog
  • 7:37 AM » Makeover your home - for 75% less
    Published Fri, Jan 30 2009 7:37 AM by CNN
    If you've never set foot in an architectural salvage shop, you're missing out on an amazing world of bargains for house repairs and upgrades. A cross between a home improvement center and an antique store, these cavernous warehouses sell used, or "pre-owned," house parts, from french doors and ornate mantelpieces to like-new commercial-grade appliances.
  • 7:37 AM » Fannie strikes deal to modify mortgages: report
    Published Fri, Jan 30 2009 7:37 AM by Reuters
    (Reuters) - Fannie Mae reached an agreement to work with one of its former critics, Neighborhood Assistance Corp of America, to prevent foreclosures by reworking home mortgages to make them easier to afford, the Wall Street Journal said.
  • 7:37 AM » A Field Day for Financial Cyber-Scammers
    Published Fri, Jan 30 2009 7:37 AM by Business Week
    Click Here to Read the Full Article

    Source: Business Week
  • Thu, Jan 29 2009
  • 8:54 PM » $4 Trillion Bank Bailout?
    Published Thu, Jan 29 2009 8:54 PM by Calculated Risk Blog
    From CNBC: Goldman Sachs estimated that it would take on the order of $4 trillion to buy troubled mortgage and consumer debt. That number could shrink if the program were limited to only certain loans or banks, but it could also grow if other asset classes such as commercial real estate loans were included. ... The Wall Street Journal said government officials had discussed spending $1 trillion to $2 trillion to help restore banks to health, citing people familiar with the matter. ... The government would not necessarily have to spend the full $4 trillion to buy the assets. If it follows the model used in a Federal Reserve program to support consumer and small business loans, the government could potentially put up just 10 percent of the total. We need more details ...
    Click Here to Read the Full Article

    Source: Calculated Risk Blog
  • 8:54 PM » U.S. to unveil menu of bank fixes next week: source
    Published Thu, Jan 29 2009 8:54 PM by Washington Post
    WASHINGTON (Reuters) - The Obama administration aims to roll out a menu of options next week to help stabilize the U.S. banking industry, with government aid tailored to individual banks' needs, a source familiar with the administration's thinking told Reuters on Thursday.
    Click Here to Read the Full Article

    Source: Washington Post
  • 4:43 PM » Got a Mortgage or Credit Card? Don't Pay Them
    Published Thu, Jan 29 2009 4:43 PM by ml-implode.com
    "Finally something that we can all get behind: Don't pay your bills. It's not my idea, although it has appeal. It's the Fed's and it's the cornerstone of the new Homeownership Preservation Policy. To qualify for aid, the homeowner must be at least 60 days past due on his or her mortgage payments. (This program is for mortgages acquired from Bear Stearns and AIG rescues. Another program begun in December 2008 required that the homeowner be 90 days late.) At the same time, the mortgagee must be able to make a reduced monthly payment, therefore, must have some income, presumably a job. The having a job part might be tough; the missing two payments part, easy."
    Click Here to Read the Full Article

    Source: ml-implode.com
  • 2:53 PM » Hope Now Reports Record Numbers as Foreclosures Rise
    Published Thu, Jan 29 2009 2:53 PM by www.thetruthaboutmortgage.com
    Is anyone else sick of Hope Now referring to loan workouts as “foreclosure preventions?” I say this because the re-default on loan modifications is staggeringly high, so it seems a bit of a stretch to say the foreclosure has actually been prevented just because the borrower got new terms on their mortgage. Perhaps a better phrase would [...]
    Click Here to Read the Full Article

    Source: www.thetruthaboutmortgage.com
  • 2:53 PM » FHA Lending Projected to Be Big in 2009
    Published Thu, Jan 29 2009 2:53 PM by www.thetruthaboutmortgage.com
    Market research company iEmergent expects the FHA to be a major player in the mortgage market this year, according to their 2009 forecast released today. The company currently forecasts 1.4 million owner-occupied FHA purchase loans in 2009, representing total purchase volume of $245.9 billion. When you factor in refinance transactions, that number could be as high as [...]
    Click Here to Read the Full Article

    Source: www.thetruthaboutmortgage.com
  • 1:19 PM » Cincinnati Mall Sells on the Cheap - $20 Sq. Ft.
    Published Thu, Jan 29 2009 1:19 PM by Wall Street Journal
    Simon Property sold a 1.4 million-square-foot mall for an estimated $9.2 million. The property is valued at less than $20 a square foot, a fraction of the average national rate of $134.
    Click Here to Read the Full Article

    Source: Wall Street Journal
  • 12:15 PM » US Mortgage Modifications Rose to Record in December
    Published Thu, Jan 29 2009 12:15 PM by CNBC
    Posted By: Reuters U.S. mortgage companies increased their use of loan modifications in foreclosure prevention efforts to a record level in December, an industry group said on Thursday. Topics: | | | |
  • 11:45 AM » Bailout Rate of Return: -1,096%
    Published Thu, Jan 29 2009 11:45 AM by Google News
    magazine looks at the TARP, and does some quick number crunching. Since the Tarp was jammed through in October, Treasury has invested $165 billion into the nation’s eight largest banks. Those same financial firms are now worth $418 billion less than they were four months ago. CBO calculates the taxpayer’s preferred shares are worth $20 billion less . The government’s annualized rate of return on its investment in the nation’s largest banks is -1,096%. As Time snarkily notes, even Bernie Madoff only lost 100%! > Source : Stephen Gandel Time, Jan. 29, 2009 http://www.time.com/time/business/article/0,8599,1874702,00.html
  • 11:44 AM » Roubini and Shiller on Bloomberg
    Published Thu, Jan 29 2009 11:44 AM by themessthatgreenspanmade.blogspot.com
    From Davos, Switzerland, Nouriel Roubini and Robert Shiller were on Bloomberg this morning talking about the outlook for the U.S. banking system and the global economy. Click to play in a new window After reiterating his view that most of the U.S. banking system is insolvent, Nouriel suggests we proceed directly to nationalizing what's left and Shiller mostly agrees. Then an ambulance goes by and Bloomberg's Erik Schatzker wonders whether that's another bank being taken the hospital (that's the still you see above - both having a good gallows humor chuckle). What's kind of remarkable about this interview is that Roubini and Shiller, both early seeers of the financial troubles we are now in the midst of, think that we should be able to just fix the banks, stop the foreclosures, provide even more massive stimulus, and then carry on with basically the same system in place. Shiller says, "the fundamental problem is, unless we restore confidence, we're going to be in a situation where, when you stop the fiscal stimulus, we come right back down." It's as if it doesn't really matter that the most massive financial bubble in the history of the world has just met its pin. Instead of rethinking what got us to this point and whether now would be a good time to consider the bigger picture (e.g., the nature of our monetary and credit system, what passes for "sound economic" growth, etc.), it's all about bigger shovels to extricate ourselves from the hole we've dug. Amazing ... a form of cognitive dissonance for even the smartest economists. Here's a related and the video is below: 00:00 Roubini: most U.S. banks "insolvent," losses 00:58 Roubini: nationalization, "near depression" 01:28 Shiller: credit market, favors "Bridge Banks" 03:06 Shiller, Roubini: U.S. economic policy, risks 04:31 Shiller: banking regulation, agency control 05:31 Roubini: cooperation on regulation, change 06:37 Roubini...
    Click Here to Read the Full Article

    Source: themessthatgreenspanmade.blogspot.com
  • 11:44 AM » ‘Bad Bank’ Will Not Boost Lending, Oppenheimer’s Whitney Says
    Published Thu, Jan 29 2009 11:44 AM by ml-implode.com
    "“Simply removing ‘toxic’ assets from bank balance sheets will not directly cause banks to increase lending,” Whitney wrote in a note today. The banks likely will not participate in selling assets to a “bad bank” if the Obama administration wants to pay fair market value for the assets “as capital hits would be too dear,” Whitney said."
    Click Here to Read the Full Article

    Source: ml-implode.com
  • 11:43 AM » Morgan Stanley level 3 assets rose 17% in fiscal '08
    Published Thu, Jan 29 2009 11:43 AM by Market Watch
    Morgan Stanley said Thursday that its hard-to-value, or level 3, assets rose 17%, to $86.2 billion at the end of its fourth quarter from $73.7 billion a year earlier. In its annual report with the Securities and Exchange Commission, the financial-services company said the level 3 assets represented 27% of assets measured at fair value. Also, Morgan Stanley said it reclassified about $17.3 billion in debt - including residential and commercial mortgage-backed securities - to level 3 from level 2 in fiscal 2008.
  • 8:36 AM » Geithner Discusses Nationalization In $2 Trillion Bailout Proposal
    Published Thu, Jan 29 2009 8:36 AM by feeds.feedburner.com
    Barney Frank once again is leading the way in a mad rush to do something, even though his track record in such cases is a perfect zero. Please consider Top U.S. House and Senate Democrats are taking a wait-and-see approach to the Obama administration's potential plan to create a "bad bank" to buy up toxic assets, though there remains a sense of urgency for policy makers to put something in place fast. "It has to be done quickly," said House Financial Services Chairman Barney Frank (D., Mass.), when asked Wednesday about the concept. "There are a variety of ideas, and this is something they should focus on." There has been increasing chatter in Washington that policy makers plan to dedicate some portion of the roughly $350 billion remaining from the TARP to buying up troubled assets. The approach could be twofold: allowing the government to purchase the assets through a "bad bank" and then guaranteeing the assets against further losses. The bad-bank portion of the program could involve the government creating an entity to purchase the assets from financial institutions, while raising money by selling government-backed securities. Shares of banks and other financial companies jumped in response to the reports of the plan. Wells Fargo & Co. shares were up more than 25% in afternoon trading. Shares of two banks that have required two bailouts from the government, Citigroup Inc. and Bank of America Corp., were up more than 15% and 10%, respectively. The rescues of Citigroup and Bank of America could provide a partial model for policy makers. In both cases the government, and by extension taxpayers, are on the hook for billions of dollars of potential losses after the banks take the first hit. The Citigroup rescue alone included protection for more than $300 billion in assets. Mr. Frank said one benefit of creating an entity to buy up the assets would be that the government could be more aggressive in dealing with foreclosures...
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 8:35 AM » Housing Inventories Offer Positive News
    Published Thu, Jan 29 2009 8:35 AM by Seeking Alpha
    submits: I have been maintaining for a long time (particularly in the ), that the key to the bottoming process in the economy is and the key to housing prices is inventory. While housing prices continue to fall, Tuesday offered the first glimpse of hope on the inventory front in a long time. In the graphic below ( click to enlarge ), I have captured the months of supply of housing inventory since 1963. Note that the December data show the biggest drop in housing inventories in 28 years.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 8:34 AM » Genworth Tightens Mortgage Insurance Guidelines
    Published Thu, Jan 29 2009 8:34 AM by Calculated Risk Blog
    Genworth sent out a notice of tighter guidelines for mortgage insurance today effective Monday February 2nd. Some of the changes are pretty significant. As an example, loans over $417K in California are ineligible for MI. Period. The same with attached housing in Florida - ineligible. Here are some of the rules: Underwriting Guideline Changes – Effective February 2, 2009 • Minimum Credit Score = 680 • Maximum Debt to Income (DTI) = 41% regardless of AUS or Submission Channel • High Cost Loans (> $417,000) Minimum Credit Score = 740 o Loan amounts > $417,000 in CA – Ineligible • Cash Out Refinance – Ineligible • Second Homes – Ineligible • Manufactured Homes – Ineligible • Construction to Permanent – Ineligible Declining/Distressed Markets Changes – Effective February 2, 2009 • Minimum Credit Score = 700 o AZ, CA, FL, NV = 720 (as per existing guidelines) • Maximum Debt-to-Income = 41% regardless of AUS or submission channel • Additions to our Declining/Distressed Markets List o 17 states added in their entirety o 69 MSA/CBSA added o Please see Attachment A for a complete list of new markets You can see the old rules and guidelines . You can type in your zip code and "discover if the property is in a Declining/Distressed Market". (I think this is the old rules and will change on Monday) Here is the of distressed markets. This included the following entire states: Arizona, California, Connecticut, Delaware, Florida, Michigan, Nevada, and New Jersey. The mailing today added many more MSAs and the following additional entire states: Colorado, Maine, New Hampshire, Rhode Island, Wisconsin, Hawaii, Maryland, New Mexico, Utah, Idaho, Massachusetts, Ohio, Vermont, Kansas, Minnesota, Oregon, Washington. Just more tightening ...
    Click Here to Read the Full Article

    Source: Calculated Risk Blog
  • 8:33 AM » JP Morgan says has "plenty of capital"
    Published Thu, Jan 29 2009 8:33 AM by Reuters
    DAVOS, Switzerland (Reuters) - JPMorgan Chase & Co has "plenty of capital" and wants governments to stop talking about nationalizing banks, its CEO said on Thursday.
1 2 3 4 5 Next > ... Last »
Did you know?
You can see a list of all comments on MND by clicking the 'Read the Latest Comments' option under the 'Community' menu.
 

More From MND

Mortgage Rates:
  • 30 Yr FRM 3.86%
  • |
  • 15 Yr FRM 3.24%
  • |
  • Jumbo 30 Year Fixed 4.11%
MBS Prices:
  • 30YR FNMA 4.5 106-24 (0-00)
  • |
  • 30YR FNMA 5.0 108-03 (0-00)
  • |
  • 30YR FNMA 5.5 108-31 (0-00)
Recent Housing Data:
  • Mortgage Apps 23.07%
  • |
  • Refinance Index 26.40%
  • |
  • Purchase Index 10.33%
X
Track Mortgage Rates Daily with our Free Daily Rate Updates. There are several ways to follow daily rate movements, including:
Email Address:   Zip Code:  
RSS - Subscribe to our Daily Rate Update RSS Feed.
Twitter - Follow our Daily Rate Update on Twitter.
Facebook - Follow our Daily Rate Update on Facebook.
Bookmark - Bookmark our rates page and visit daily for updates.
Mobile Apps - There's an App for this too. Learn more about our Mobile Apps.