The chief executive of Freddie Mac estimated the mortgage finance company will lose an additional $5.5 billion to $7.5 billion over the next few years as the housing crisis worsens and home-loan defaults rise. The government-sponsored company has
Washington Mutual Inc. has become the latest lender to resort to a massive stock sale to shore up its finances amid turmoil in the mortgage and credit markets. The nation's largest savings and loan also said it will close offices, lay off more th
Several hedge funds are going to get carted out on a stretcher all at once and cause a cascade of defaults. When the event comes, those hedges will prove to be worthless.
Several hedge funds are going to get carted out on a stretcher all at once and cause a cascade of defaults. When the event comes, those hedges will prove to be worthless.
MBIA insures just over $1,000bn of municipal and structured finance bonds. However, it only had the ability to pay $14.2bn of claims as of September 30.”
The Columbia Strategic Cash Portfolio fund for institutional investors that was worth $40 billion only a couple months ago, currently has about $12 billion in assets.
The Columbia Strategic Cash Portfolio fund for institutional investors that was worth $ 40 billion only a couple months ago, currently has about $12 billion in assets.
Since late 2006, 200 major U.S. lending operations have "imploded."
"I think there will be a wave of bank failures in the not-too-distant future,"(Matthew Anderson, a partner in Foresight Analytics)
The idea is to get people to keep making mortgage payments on a loan that is worth more than the collateral. A neat trick!
Estimates range from 7 percent of subprime borrowers, or about 145,000 people, to 12 percent, or about 240,000 people. On top of that, servicers' participation in the program is voluntary.
U.S. mortgage assets in collateralized debt obligations have lost so much value that the top classes of the securities may be worth as little as 20 cents on the dollar in a liquidation.
Among those free-marketers inside the administration and out, who unapologetically label themselves ideologues, Henry Paulson has a nickname: "Mr. Fixit." This is not a compliment. Staunch free-marketers harbor a special brand of disdain fo
Homeowner equity which stood at over 85% in 1946, has fallen to a new all time low of 50.4%.
This number is important because homeowners with little or no equity are very vulnerable to negative events - they will have difficulty selling their home, and can't borrow to meet emergencies.
Do you get the feeling the market's getting a little tough in Las Vegas?
Paulson's Super SIV plan is all but dead in the water and new details coming out on his mortgage bailout plan show they will harm Fannie Mae and Freddie Mac. The plans were doomed anyway but bureaucratic meddling will make things worse. To top it
Treasury Secretary Henry Paulson said an agreement was near on a proposal to help thousands of at-risk homeowners avoid foreclosures by temporarily freezing their mortgage rates. One of the last issues: the exact length of time the low-teaser rates w
Like a ticking time bomb, the national debt is an explosion waiting to happen. It's expanding by about $1.4 billion a day - or nearly $1 million a minute. What's that mean to you? It means almost $30,000 in debt for each man, woman, chi
"If we reopen the window without limitations on Tuesday, and we see behavior like we've seen up to now, there's simply no way to meet that demand without having a fire sale on assets,'' said James Francis,
The national debt is up from $5.7 trillion when President Bush took office in January 2001 and it will top $10 trillion sometime right before or right after he leaves in January 2009.
Goldman’s forecast of a 15 percent decline in home prices seems implausible to me, too — but on the low side. A 15 percent decline would bring prices back to their level in early 2005 —
[The smartest people in the world.] Majority Democrats plan to include the requirement in broader energy legislation to be debated in the context of $90-per-barrel oil, $3-plus pump prices and growing concerns about climate change. The House plans to
Goldman Sachs analysts said they were surprised by the size of the discount on E*Trade's portfolio because 73% of the assets were backed by prime mortgages, or loans to people with solid credit.
In a mark to reality event long overdue, ETrade's assets were sold from 11-27 cents on the dollar. What happens if Citigroup mark's its assets to reality? There seems to be easily another $26 billion at risk. Citigroup is desperately trying t
"The unthinkable and the unimaginable have just happened here in Florida,'' said Hal Wilson, chief financial officer of the school district, "What we just experienced here is a classic run-on-the bank meltdown.''
"If we talked two weeks ago, I'd say there wasn't much more downside, but the market is acting like there's still a lot more to go,'' said James Wilson, at San Francisco-based JMP Securities LLC.
Credit default swap spreads climbed last week by as much as 335 basis points for builders with investment-grade ratings and by an average 209 basis points for those with junk ratings, according to CreditSights Inc.
Cramer returned from his tour of the Inland Empire deeply impacted-and recalled his experience in this video. He said the FED does not understand how bad housing really is- housing is in crisis.
U.S. foreclosure filings nearly doubled in October from the same month last year, the latest sign many homeowners are falling behind on mortgage payments and increasingly losing their homes, according to a mortgage research company.
