BusinessWeek Online - As if they haven’t done enough damage. Thousands of subprime mortgage lenders and brokers — many of them the very sorts of firms that helped create the current financial crisis — are going strong. Their new strategy: taking advantage of a long-standing federal program designed to encourage homeownership by insuring mortgages for […]
FHA-Backed Loans: The New Subprime
November 24th, 2008 · Permalink
Foreclosures to rise whoever wins White House
July 5th, 2008 · Permalink
WASHINGTON - Home foreclosures will keep rising next year no matter who is elected president in November.
Even the optimism that surrounds a new president taking office cannot resurrect home values overnight, and presidents have no direct ability to reduce rising mortgage rates. Nevertheless, Democrat Barack Obama and Republican John McCain both promise help for homeowners […]
Mortgage assistance plan impact doubted
April 9th, 2008 · Permalink
AP - Americans with mortgages exceeding the value of their homes face long odds of getting help under an expanded Bush administration program aimed at helping distressed borrowers.
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Hamish McRae: Housing market shivers but it should not be as bad as the early 1990s (Independent)
April 3rd, 2008 · Permalink
A shiver ran through the market yesterday with the news that First Direct was stopping making new mortgages. Sure, the withdrawal is temporary, the result of a flood of demand as it offered better terms than its competitors for a two-year fixed mortgage. But it is one more sign of the squeeze on mortgages, raising […]
More bad news at German subprime casualty IKB
March 20th, 2008 · Permalink
AFP - Germany’s IKB unveiled more bad news Thursday, suspending the sale of billions of euros (dollars) of risky assets tied to US subprime mortgages and revealing it was getting yet more state aid.
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$1.89 billion loss hammers FGIC
March 17th, 2008 · Permalink
NEW YORK (AP) — Bond Insurer FGIC Corp. said Monday it lost nearly $2 billion in the fourth quarter and continues to seek a reorganization of its insurance operations and to raise capital to shore up its financial position.
The loss resulted primarily from writing down the value of securities guaranteed by FGIC that are backed […]
How subprime killed Bear Stearns
March 17th, 2008 · Permalink
NEW YORK (CNNMoney.com) — It started last summer when borrowers with weak credit started defaulting on their mortgages. Last night, it brought down an 85-year-old pillar of Wall Street.
How did we get to this point? How did rising foreclosures among subprime borrowers lead to Bear Stearns being scooped up in a fire-sale for two bucks […]
Banks face “systemic margin call” $325 billion hit: JPM
March 8th, 2008 · Permalink
Reuters - Wall Street banks are facing a “systemic margin call” that may deplete banks of $325 billion of capital due to deteriorating subprime U.S. mortgages,
JPMorgan Chase & Co , said in a report late on Friday.
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