jack kreg

Proposals for a Depreciating Housing Environment

Warrior, if you are a soldier, then bless you for your service to the USA, the best country in the world, always has been, always will be. With all due respect for the freedom of speech that you may have fought for, you might want to take a more freedom orientation to your perspective. The worlds great socialists, also have the honor of being the greatest mass durders of all history. Stalin, Mao and their world wide ilk have murdered nearly 100 million people. No other country is anyway near. I like the sound of freedom, better than your form of socialism. But bless you always for your service to the good old USA.

Proposals for a Depreciating Housing Environment

It seems to me that if the bank is to write off some of the money it loaned to the home owner, that the bank ought to get an equity position in the property, that is infront of the borrowers. I can't see how the bank should not participate in future growth in real estate prices, after forgiving their money to the borrower.

Turning a Costly Blind Eye to Mortgage Speculators

Can a lender get the IRS to varify income claims from the loan applicant, otherwise, how does the Lender really varify income?
How does the lender know that the applicant already owns, several homes? If he can't, is that not a big risk for the mortgage investor?
The borrower needs to have a lot more skin in the game.
If I were the mortgage investor, I would want the borrowers money in the game infront of mine. We have made this tooo easy for the borrower to game the system.
If a borrower wants a loan for his 2nd house, then the equity in his 1st house, should also be on the line. Then, he would not risk losing his actual home, on a spec home.

Some Subprime Mortgage Loans Are Actually Current

Excellent article, more generally, I get the impression that MBS are priced on fear of large future losses, even though current cash flow is not nearly that bad. The financial bet is whether or not people will pay or refinance their mortgages, few of the experts have provided any convincing evidence as to the prediction of this outcome. Hence, the prudent move is to sell, and take current losses, trying to avoid a larger future loss.

Countrywide Financial Hasn't Failed - To Disappoint

Mozillo, said last year, "market downturn would be hardest in decades", also, never saw a downturn in real-estate that did not lead to recession". I guess that the author only listens when it fits his ideology.

Fannie & Freddie Clobbered Over the Need to Raise Capital

This is the perfect place for the surplus Social Security tax revenue, currently at $250 Billion, one years worth would go along way if invested in Freddie and Fannie, it would certainly be a better use of the money than Congress, who continues to pour our income tax revenue down the social spending rat hole, SS could sell their share in 3-5 years after the mortgage market recovers.