FANNIE MAE AND FREDDIE MAC WILL NOT WRITE DOWN MORTGAGES
This news is just breaking now via Bloomberg and CNBC.
What does this mean?
Basically, The Treasury has been pressuring the GSEs to allow for some kind of homeowner principle writedown scheme.
Their chief regulator Ed Demarco has always been against this idea (quite controversially) over a fear of more strategic defaults if allowed.
DeMarco has thus once again denied this desire.
According to CNBC’s Diana Olick, Tim Geithner has already requested [...]
It’s not just the inability of some to get a mortgage; bigger issues are failed inspections, appraisals, buyers with cold feet and adverse economic conditions.
For the past several months, Realtors across the nation have been reporting an ever-increasing number of cancelled existing home sale contracts. The latest Realtors Confidence Index now puts the cancellation rate at 20 percent, way up from the historical norm of around four to six percent.
“On-time settlements were reported as declining [...]
There is an advertisement beside an online article by CNBC real estate reporter Diana Olick that speaks volumes to the America of the 21st Century. We want it all, but we can’t afford it. Inches away from the headline that states most homeowners in the U.S. owe more on their house than it is actually worth is a 72-year-old man, topless, ripped with an anabolic six pick and the body [...]
There is cyclical perturbation around a generation long depression in real home prices and sales.
In terms of real metrics such as oil, gold, wheat or copper the purchasing power of home equity has declined catastrophically for tens of millions of homeowners and the decline continues.
For Diana Olick at CNBC (one of the absolute very best financial news reporters around) the news is the nail in the double dip coffin [...]
FORECLOSURE FRAUD: IT’S WORSE THAN YOU THINK
Published: Tuesday, 12 Oct 2010 | 1:14 PM ET
By: Diana Olick
“A source of mine pointed me to a recent conference call Citigroup [C 4.20 0.02 (+0.48%) ] had with investors/clients. It featured Adam Levitin, a Georgetown University Law professor who specializes in, among many other financial regulatory issues, mortgage finance. Levitin says the documentation problems involved in the mortgage mess have the potential [...]
“Banks take over record number of US homes in August ”
Reuters – Lynn Adler
“NEW YORK, Sept 16 (Reuters) – A record number of US homeowners lost houses to their banks in August…”
“August Foreclosures Highest on Record”
TheStreet.com – Diana Olick
“July’s repossession number was the second highest on record. The last highest was 93777 in May of 2010. Notices of Default, which are the first step in the…”
“US Home Prices Face 3-Year [...]