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  • Thu, Sep 11 2008
  • 11:24 AM » Reverse Mortgage Co. Revamps Name, Brand
    Published Thu, Sep 11 2008 11:24 AM by feeds.feedburner.com
    Reverse mortgage are hot — so much so that companies in the space are realizing they should put the word “reverse” in their corporate names. The latest is OmniHome Financing, which said Thursday it had rebranded itself as Omni Reverse, and moved into new headquarters in Mission Viejo, Calif. Omni Reverse is ranked as the [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 11:09 AM » Rates Fall Dramatically in Wake of GSE Bailout
    Published Thu, Sep 11 2008 11:09 AM by feeds.feedburner.com
    While investors are still grappling with the fallout from a Treasury-led bailout of both Freddie Mac (FRE: 0.6259 -5.17%) and Fannie Mae (FNM: 0.78 +5.41%), borrowers are clearly benefiting as mortgage rates have fallen dramatically since Sunday’s takeover of the twin mortgage giants. Freddie Mac’s weekly rate survey found that rates on a 30-year fixed-rate [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 10:52 AM » Hope Hotline: California Most Counseled State
    Published Thu, Sep 11 2008 10:52 AM by www.thetruthaboutmortgage.com
    At-risk California homeowners have been taking advantage of foreclosure prevention efforts extended by the Hope Hotline, according to a promotional flyer from the Homeownership Preservation Foundation. Between January and August of this year, the famed hotline has received 167,924 calls from California homeowners, resulting in 38,894 counseling sessions. That’s up from 84,215 calls and 12,699 counseling sessions [...]
    Click Here to Read the Full Article

    Source: www.thetruthaboutmortgage.com
  • 10:38 AM » Markit Looks to Past for Latest ABX Addition
    Published Thu, Sep 11 2008 10:38 AM by feeds.feedburner.com
    Markit, the financial information services company that owns the Markit ABX.HE inde — commonly referred to as the ABX, for short — said Wednesday that it plans to launch an ABX.HE 05-2 index on Oct. 2. The ABX.HE is a tradable synthetic index of U.S. sub-prime asset-backed securities. The addition of the new index, following a [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 10:37 AM » Targeting Valuation of Subordinate Loan Pools
    Published Thu, Sep 11 2008 10:37 AM by feeds.feedburner.com
    After sister organization First American CoreLogic rolled out a solution earlier this week to help lenders and investors identify hidden second liens tied to their first lien positions, First American Subordinate Lien Outsourcing — another member of title insurance giant The First American Corporation (FAF: 28.77 -1.47%) — said Wednesday that the company had rolled [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 10:21 AM » Hedge Fund USA
    Published Thu, Sep 11 2008 10:21 AM by feeds.feedburner.com
    In HW’s initial coverage of the Fannie/Freddie bailout, we wrote that the move essentially made the Treasury into the world’s largest hedge fund: The Treasury said it will appoint two independent asset managers as financial agents of the U.S. government to manage the a government portfolio of MBS with the goal of “promoting stabiliity and protecting [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 8:45 AM » NAR's Chief Economist: Totally Clueless
    Published Thu, Sep 11 2008 8:45 AM by Seeking Alpha
    submits: If you want to see how clueless the NAR's Chief Economist is (as are many in the Real Estate Industry), look no further than the recent home sales report: (From the NY Times): "The National Association of Realtors said its seasonally adjusted index of pending sales for existing homes fell 3.2 percent to a reading of 86.5 from an upwardly revised June reading of 89.4. The index was 6.8 percent below year-ago levels.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 8:29 AM » GSEs Are 'Safe' - But What's Next?
    Published Thu, Sep 11 2008 8:29 AM by Seeking Alpha
    submits: By Eric Roseman Just in case you didn't hear, the government finally jumped into the mortgage business over the weekend when the politicians officially nationalized Fannie (FNM) and Freddie (FRE).
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 8:29 AM » Donaldson Company: A Boring Stock That Knows How to Deliver Earnings
    Published Thu, Sep 11 2008 8:29 AM by Seeking Alpha
    submits: I wanted to mention Donaldson ’s (DCI) earnings report from last week when I was out. () This is a boring stock but it certainly knows how to deliver earnings. For the July quarter, which is the company’s fiscal fourth quarter, Donaldson earned compared with 53 cents for last year's fourth quarter. That’s a pretty nice increase although the 60 cents a share was a penny below Wall Street’s consensus. If we want to split hairs, the EPS came in at 60.26 so we’re not talking about a huge miss.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 8:29 AM » Housing Sales: Another Take On Modeling and Forecasting
    Published Thu, Sep 11 2008 8:29 AM by Seeking Alpha
    submits: We are taking a new slant on modeling and forecasting. At the risk of over-simplifying, let us start with two schools of thought: The professionals take classes in various modeling methods, learn techniques in real-life situations, and then go into the world to predict, to explain, and to advise. The naysayers disparage the work of the professionals. They point out the errors in the forecasts, without seeming to make any of their own. They proclaim that all models include errors. This represents a clear divergence of thought and a challenge for investors. If there is no expertise involved in modeling and forecasting, than anyone's opinion (or anecdote) is as good as anyone else's. It is the Wild West democracy of the blogosphere. Great fun, but is it profitable?
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 8:29 AM » Housing on the Slide
    Published Thu, Sep 11 2008 8:29 AM by Seeking Alpha
    has a good post about home prices, looking at prices from several different angles. All angles suggest that prices have a ways further to go before reaching "normal." Of course, there's no reason to expect any time series to get back to normal, but it's a good first guess. Why should housing prices be above their long-run normal ratio to something (rental rates, income)?
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • Wed, Sep 10 2008
  • 4:18 PM » Expect the Real Rally by Mid-2009
    Published Wed, Sep 10 2008 4:18 PM by Seeking Alpha
    submits: To be sure, the U.S. economy is in the midst of a painful structural adjustment process. And, not surprisingly, the consumer is at the epicenter of the crisis. After years of excess consumption, overextended consumers will have to significantly reduce consumption and increase savings to restore their financial health. Moreover, since consumer spending constitutes 70% of GDP, many economists fear that this "deleveraging" process may plunge the U.S. economy into a deep and protracted recession. There is, however, much speculation among economists as to precisely how sharp the pullback in consumer spending will be and when it will recover. Stephen Roach, Managing Director and Chief Economist, Morgan Stanley Asia believes that a global economic slump has just begun and that the U.S. is on a "recession trajectory". Mr. Roach further suggests that people are still in denial with regard to the severity of the problems confronting the U.S economy. Given this grim outlook, Morgan Stanley has lowered its S&P 500 2008 year-end target to 1300 from 1400.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 3:30 PM » GSEs Should Be Directly on Treasury’s Books: CBO
    Published Wed, Sep 10 2008 3:30 PM by feeds.feedburner.com
    For all of the press the Treasury/Federal Housing Finance Agency bailout of Fannie Mae (FNM: 0.8676 -12.36%) and Freddie Mac (FRE: 0.7635 -13.24%) has received, it’s the nuances that are now starting to come into clearer view that will determine the future course of mortgage lending in the United States. The Congressional Budget Office opened [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 2:58 PM » WaMu Tanks as As Buyers Run Scared
    Published Wed, Sep 10 2008 2:58 PM by feeds.feedburner.com
    A shake-up at the top has apparently done little to quell investor unrest over the future of Washington Mutual (WM: 2.77 -16.06%), the nation’s largest thrift. Share prices fell for the third straight day despite a move on Monday to replace long-time CEO Kerry Killinger with a company outsider, and were down more than 20 [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 1:57 PM » Subprime Lawsuits Set Litigation High-Water Mark in Q2
    Published Wed, Sep 10 2008 1:57 PM by feeds.feedburner.com
    The S&L crisis of the early 1990s has already been surpassed on one area — the number of subprime lawsuits that have taken shape in the collapse of much of the mortgage banking industry. According to a study released Wednesday by Navigant Consulting, Inc. (NCI: 18.34 -0.38%), the number of subprime-related cases filed in federal [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 1:41 PM » Dugan: OCC Looking to Expand on HMDA Data for Fair-Lending Screening
    Published Wed, Sep 10 2008 1:41 PM by feeds.feedburner.com
    Comptroller of the Currency John Dugan said Wednesday that the government regulator will look to utilize expanded information from large banks early on in assessing fair-lending compliance, expanding on the core data set typically included in reporting required under the Home Mortgage Disclosure Act. What’s noteworthy here is the OCC’s assertion that HDMA data doesn’t [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 1:26 PM » Consumer Avocates Want Fannie, Freddie to Follow FDIC on Loan Mods
    Published Wed, Sep 10 2008 1:26 PM by feeds.feedburner.com
    Fannie Mae (FNM: 1.04 +5.05%) and Freddie Mac (FRE: 0.8542 -2.93%) may no longer be able to lobby, but consumer advocacy groups sure can — and they’re already pressing regulators and legislators to see Fannie and Freddie enact wide-scale loan modifications for troubled borrowers. Think FDIC and IndyMac, but on a much grander scale. American Banker [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 11:59 AM » Mortgage Problems Move Up the Chain
    Published Wed, Sep 10 2008 11:59 AM by Seeking Alpha
    submits: I threw in a sidebar to one of the Fannie/Freddie pieces Tuesday but I think it is important enough to highlight. First a refresher... many of the same pundits and in fact government officials who assure us everything is fine and dandy and we'll be out of this soon enough (and have been repeating this matra since the first hedge fund explosions in Bear Stearns last summer) have a history. A history we can look up. For example the now infamous statements
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 11:28 AM » Mortgage Apps Rise on Refi Strength
    Published Wed, Sep 10 2008 11:28 AM by www.thetruthaboutmortgage.com
    Mortgage application volume increased 9.5 percent on a seasonally adjusted basis for the week ending September 5, according to the latest report from the MBA. Not accounting for the holiday-shortened week, applications were actually off 13.6 percent from one week earlier. And compared to the same Labor Day week a year ago, application volume was down a [...]
    Click Here to Read the Full Article

    Source: www.thetruthaboutmortgage.com
  • 11:12 AM » Can This Bailout Work?
    Published Wed, Sep 10 2008 11:12 AM by Seeking Alpha
    submits: T he Treasury Department has placed (FNM) and (FRE) under federal conservatorship and booted the senior management. This bailout will impose needed reforms in the companies' business practices. And, contrary to much conventional wisdom, the cost to the taxpayer may not be large - that is, if the federal government gets Wall Street to help. The Treasury will buy some Fannie and Freddie bonds to shore up confidence that these are fully backed by the federal government, and it will make short-term loans to Fannie and Freddie. These pose little risk to the Treasury and will net profits for the taxpayers.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 9:54 AM » At Lehman, the Good, Bad — and Ugly
    Published Wed, Sep 10 2008 9:54 AM by feeds.feedburner.com
    Lehman Brothers (LEH: 8.465 +8.66%) said Wednesday morning that it expects to lose $3.9 billion in the third quarter, a loss of $5.92 per share, the largest quarterly loss in company history. Driving the loss are $5.6 billion in net write-downs on residential mortgage and commercial real estate positions, the company said in a press [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 9:22 AM » Yours Truly, Hank
    Published Wed, Sep 10 2008 9:22 AM by feeds.feedburner.com
    Via Long or Short Capital: Dear US Taxpayer, I would like to congratulate you on your recent purchase. I am glad I was able to convince you that now is the ideal time to offer an uncapped backstop on a $5.2 trillion book of mortgages. We here at the Treasury Dept (along with our sisters over at [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 9:22 AM » Will the Bailout Alleviate the Housing Crisis?
    Published Wed, Sep 10 2008 9:22 AM by Seeking Alpha
    Is it going to help solve our housing crisis? Some analysts think that Fan (FNM)/Fred's (FRE) borrowing costs will not drop, much of which will be passed on to new mortgage borrowers. Let's see if that looks like it will solve the housing problem: Gee, it doesn't look to me like the problem is high mortgage rates. Maybe the problem is something else. Like this: Ah, that's it. Too many houses. Now if we had a federal demolition agency, that might help. (Actually, we do. It's called HUD. But it's not much help.) Bailout? Whenever we hear "bailout," we should be clear about who is getting bailed out, and of what. Fan/Fred shareholders are NOT getting bailed out. This makes the bailout look appropriately harsh to Wall Street fat cats. The true bailout is to the holders of Fan/Fred bonds. They bought those bonds to earn HIGHER YIELDS than they would have received on U.S. treasury bonds. They knew the higher yields were not typos. The higher yields were compensation for holding a security with more risk than a treasury bond. So if the bond-holders knew they were buying bonds with risk, why would we bail them out? Why would the federal government use taxpayer money to bail out bond-holders who knew they were taking on risk?
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 9:22 AM » Stocks Should Rally Significantly by Mid-2009
    Published Wed, Sep 10 2008 9:22 AM by Seeking Alpha
    submits: To be sure, the U.S. economy is in the midst of a painful structural adjustment process. And, not surprisingly, the consumer is at the epicenter of the crisis. After years of excess consumption, overextended consumers will have to significantly reduce consumption and increase savings to restore their financial health. Moreover, since consumer spending constitutes 70% of GDP, many economists fear that this "deleveraging" process may plunge the U.S. economy into a deep and protracted recession. There is, however, much speculation among economists as to precisely how sharp the pullback in consumer spending will be and when it will recover. Stephen Roach, Managing Director and Chief Economist, Morgan Stanley Asia believes that a global economic slump has just begun and that the U.S. is on a "recession trajectory". Mr. Roach further suggests that people are still in denial with regard to the severity of the problems confronting the U.S economy. Given this grim outlook, Morgan Stanley has lowered its S&P 500 2008 year-end target to 1300 from 1400.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • Tue, Sep 9 2008
  • 4:19 PM » Market Woes Return; Lehman, WaMu Hit Hard
    Published Tue, Sep 09 2008 4:19 PM by feeds.feedburner.com
    In a press briefing this morning, White House press secretary Dana Perino told reporters that the stock market’s surge on Monday in response to a move by regulators and the U.S. Treasury to take control of Fannie Mae (FNM: 0.98 +34.25%) and Freddie Mac (FRE: 0.92 +4.55%) proved that “it was the right move at [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 3:17 PM » Mortgage Rates Fall, But for How Long and Will it Matter?
    Published Tue, Sep 09 2008 3:17 PM by www.thetruthaboutmortgage.com
    Since the Treasury took action Sunday and bailed out Fannie Mae and Freddie Mac, spreads have tightened and interest rates on mortgages have fallen significantly. While this may have not been the central focus of the takeover, it’s certainly the most important aspect to consumers looking for a better deal on their mortgages. According to Bankrate.com, the [...]
    Click Here to Read the Full Article

    Source: www.thetruthaboutmortgage.com
  • 2:45 PM » Home Prices Off 11.4 Percent in July, Report Says
    Published Tue, Sep 09 2008 2:45 PM by feeds.feedburner.com
    Adding to growing evidence of a slight seasonal jump in home prices during July, Denver-based default management firm Integrated Asset Services, LLC said Tuesday that its IAS360 House Price Index for found a 0.9 percent monthly rise in home prices nationally during July. Prices remained 11.4 percent off year-ago levels, the company said; during June, [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 12:56 PM » JD Power: Loan Servicing Satisfaction Falls, BB&T is Best
    Published Tue, Sep 09 2008 12:56 PM by www.thetruthaboutmortgage.com
    Mortgage servicing customer satisfaction slipped for the second straight year as an increase in billing errors, service “hand-offs,” and a larger number of late paying borrowers took its toll. Overall satisfaction fell 14 index points to 784 on a 1,000 point scale, down from 798 in 2007 and 812 in 2006. The study measures four areas of [...]
    Click Here to Read the Full Article

    Source: www.thetruthaboutmortgage.com
  • 12:09 PM » Borrowers Increasingly Unsatisfied with Mortgage Servicers: Report
    Published Tue, Sep 09 2008 12:09 PM by feeds.feedburner.com
    As the nation’s housing mess has worn on, a growing number of borrowers are finding themselves dissatisfied with their mortgage servicer, according to data released Tuesday by market research firm J.D. Power and Associates. For a second consecutive year, customer satisfaction with the servicing of mortgages declined, the research company said. Part of the problem likely [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 12:09 PM » Fannie, Freddie Default Swaps Big Non-Event
    Published Tue, Sep 09 2008 12:09 PM by Seeking Alpha
    submits: Bloomberg is reporting . Investors may be forced to settle contracts protecting more than $1.4 trillion of Fannie Mae and Freddie Mac bonds against default after the U.S. seized control of the companies in a bid to bolster the housing market.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 12:09 PM » Eight of 10 Most Expensive Housing Markets in California
    Published Tue, Sep 09 2008 12:09 PM by www.thetruthaboutmortgage.com
    Perhaps not surprisingly, eight of the 10 most expensive housing markets in the nation can be found in California, at least according to the latest Home Price Comparison Index from Coldwell Banker. The real estate company evaluated average home values for select 2,200 square foot single-family homes with four bedrooms and two-and-a-half baths in 315 markets [...]
    Click Here to Read the Full Article

    Source: www.thetruthaboutmortgage.com
  • 11:22 AM » REOMAC Touts Complimentary Servicer Registration For Conference
    Published Tue, Sep 09 2008 11:22 AM by feeds.feedburner.com
    You’d think that these would be boon times for servicers, which is only partly true. Flooded by a historic influx of work and often a lack of resources to manage its, servicing managers have never been busier or had less time on their hands. Which means, oddly enough, that fewer servicing executives have time this [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 11:06 AM » La Jolla Tops List as Most Expensive Housing Market in Nation
    Published Tue, Sep 09 2008 11:06 AM by feeds.feedburner.com
    Although both are waterfront cities, something besides the salt water separates La Jolla, Calif. on the Pacific Ocean from Sioux City, Iowa on the Missouri River — like a $1.7 million dollar difference in the cost of homes, according to a study released Tuesday morning. In an annual comparison of similar homes in 315 U.S. markets, [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 10:19 AM » The politics of a government power play
    Published Tue, Sep 09 2008 10:19 AM by feeds.feedburner.com
    A telling story Tuesday in the New York Times suggests that Congressional Democrats knew they’d been taken for a ride after this weekend — that the current administration was able to pull it off is somewhat stunning: Mr. Dodd all but accused Mr. Paulson of misleading Congress less than two months ago when the Treasury secretary [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 10:19 AM » The Fannie/Freddie Bailout: Consequences to the U.S. Taxpayer
    Published Tue, Sep 09 2008 10:19 AM by Seeking Alpha
    James Quinn submits: We now know that our government prefers to screw us on the weekend, while we are distracted by football games, errands, and laundry. I noticed that Paulson didn’t mention how much this would cost the American taxpayer during his speech. Two honest Americans, who have been right on this issue for the last two years, John Hussman and William Poole, have concluded that the tax bill will be $250 billion to $300 billion. Mr. Hussman’s analysis is as follows: “A record 9.16% of U.S. mortgages were in delinquency (6.41%) or foreclosure (2.75%) as of June 30. This figure will likely be even worse in the third quarter report. With that January 2009 “sunset” provision now gone, I expect that U.S. taxpayers will be on the hook for about $250 billion in losses. Look – 9.16% of U.S. mortgages are already delinquent or in foreclosure, with the likelihood of further delinquencies and foreclosures in the coming quarters. On a $5.2 trillion book of mortgage loans between Fannie and Freddie, and a prevailing recovery rate of 50% on foreclosed properties, an overall loss of about 5% of this book, or about $250 billion, is a fairly conservative expectation.”
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 9:49 AM » Wachovia Cut to Underperform by Merrill
    Published Tue, Sep 09 2008 9:49 AM by feeds.feedburner.com
    While broader market indices appear set to rise on Tuesday, Wachovia Corp. (WB: 17.82 -6.16%) was headed in the opposite direction in pre-market trading after analysts at Merrill Lynch & Co. (MER: 26.75 -3.04%) downgraded the North Carolina-based bank to underperform, citing concerns over investment banking and a growing likelihood of impairment charges. Shares in [...]
    Click Here to Read the Full Article

    Source: feeds.feedburner.com
  • 8:46 AM » The Facts on Fannie and Freddie
    Published Tue, Sep 09 2008 8:46 AM by Seeking Alpha
    submits: A conservator will take full managerial/ownership control and 79.9% of common shares under a contractual agreement. The intent is to wind this arrangement down toward the end of 2010- presumably as stability returns to residential real estate and financial markets. The portfolios will not grow across this period or will shrink to their approximately $850 billion June 30, 2008, levels by the end of 2009. Thereafter, Fannie (FNM) and Freddie (FRE) [GSE] portfolios will shrink toward $250 billion in 10% increments. The Treasury Department will receive senior notes yielding 10% with 12% penalty rates and will replenish capital as needed. Further authority will not be required unless or until these commitments sum to more than $200 billion total. In addition, the US Treasury will begin buying mortgage backed securities [MBS] from Fannie and Freddie. There are no limits to this process. Thus, the guarantee business will continue, portfolio holdings will be moved onto Treasury books and the firms will be moved away from their ballooning and painful function as mortgage portfolio holders. The stated triple aim of buoying asset markets, home mortgage provision/affordability and protecting taxpayers clearly run at cross purposes. If they did not, past assurance would have worked and this take-over would not be needed.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 6:41 AM » The Government's Moral Hazard with Fannie and Freddie
    Published Tue, Sep 09 2008 6:41 AM by Seeking Alpha
    On Sunday, U.S. federal regulators outlined their takeover plans of the combined $5 trillion giants Fannie Mae (FNM) and Freddie Mac (FRE). The Treasury Department in conjunction with the Federal Housing Finance Agency [FHFA] will use the full faith of the U.S. government to back the two institutions which have been at the core of the illusion of prosperity created by the inflation of real estate. Reports of overstated equity, upcoming write-downs that exceed the government's estimates and capital market's reluctance to fund Freddie and Fannie, prompted action this weekend. Clearly the rest of the banking system can be assumed to be in the same boat with overstated assets and equity values. In addition, the idea is that nobody has a clue of the value of the falling house of cards called banks
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 5:54 AM » New York City Real Estate: As Good As T-Bills?
    Published Tue, Sep 09 2008 5:54 AM by Seeking Alpha
    submits: Last year investors were touting New York City multi-family rental properties as being as low risk as T-bills, but with upside. The upside was to be generated by "repositioning." In many cases, this was code for throwing out rent-controlled/stabilized tenants and capturing the arbitrage versus free market rents. Both of the suppositions embedded in this strategy have been called into question recently. I would point out that a , where several bills were introduced in the state Senate to tighten up regulations and prevent landlords (read: hedge funds and opportunity funds) from significantly increasing turnover in their properties. Secondarily, costly, over-levered and often ill-conceived condo projects which are topping off in a soft demand environment are all of a sudden being forced to go rental, causing a spike in supply (see Crain's article cited below). Couple the increased supply, albeit modest, with the soft economy and evidence of a slowing in rental rate increases and even declines are emerging.
    Click Here to Read the Full Article

    Source: Seeking Alpha
  • 4:52 AM » Yet Another Problem With Falling Home Prices
    Published Tue, Sep 09 2008 4:52 AM by Seeking Alpha
    submits: While the rising tide of foreclosures, which the latest available data show are from last year, has been the major worry for policymakers during the current housing bust, there is another problem that comes with falling home prices that may at some point need the attention of those in D.C. According to from Fernando Ferreira and Joseph Gyourko of Wharton and Joseph Tracy of the New York Fed, the typical reaction by homeowners to negative equity -- the state where the amount owed on a house is greater than the home's market value -- is not to move out but to stay. Looking at data from California between 1985-2005, the researchers found that those with negative equity were 50 percent less likely to move than those with positive equity.
    Click Here to Read the Full Article

    Source: Seeking Alpha
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More From MND

Mortgage Rates:
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MBS Prices:
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Recent Housing Data:
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