Home » Mortgage News » 2009 » January
Mortgage Loan Modifications Hit Record High, While New Home Sales Hit Record Low
Mortgage companies continue to move at an accelerating rate to modify trouble loans--modifying 122,000 loans in December. Meanwhile, new home sales in December went the opposite direction to hit record lows--only 23,000 Americans bought homes in December. Read More» |
$819 Billion Stimulus Passes House. Recovery or Pork?
The new Obama administration gets a first legislative victory with the easy passage of his $819 billion economic stimulus package. However, several questions and controversies plague the bills entry into the Senate. Is it spending the right areas? Will the effects be fast enough? Is that pork I see... Read More» |
"Bad Bank" For Toxic Mortgages Gaining Support from Obama Administration
Lawmakers and Wall Street are buzzing about the prospect of a "bad bank." This plan would create an aggregator bank to acquire, rewrite, and liquidate these troubled mortgages. Sources indicate that the Obama administration is behind the proposal and the FDIC is lobbying to manage the operation. Read More» |
Fannie Mae and Freddie Mac Need Billions to Prop Continued Mortgage Losses
Just days after Freddie Mac announced a need for $35 billion, Fannie Mae says it needs $16 billion in federal aid. Continued deterioration in mortgage assets have now driven these enterprises net worth below zero in the last quarter, according to recent securities filings. Read More» |
Federal Reserve May Get Power to Regulate Entire US Financial System
The financial sector may be getting new oversight that makes Sarbanes-Oxley look like a light administrative task. Congress is moving aggressively to bring a new regulatory structure over the entire US financial system, most probably concentrated within the Federal Reserve. Read More» |
Rates Fall Below 5%, But Mortgage Refinance Challenging
Mortgage rates are hitting record breaking lows, flooding down-sized lenders with new mortgage applications. Unfortunately, many of these eager homeowners may find attractive mortgage rates and lower payments elusive. Read More» |
Congress Introduces National Mortgage Fraud Task Force Act
Low mortgage rates have brought more than a refinance boom, it has brought a surge in mortgage fraud. FBI statistics show that it is one of the fastest growing white collar crimes in the United States. Read More» |
President Obama Walks into New Bank Crisis
While President Barack Obama was being sworn in, Wall Street was free falling. Bank stocks continue to inject fear into the market as toxic mortgage assets continue to force large write downs and stockpiling capital into reserve provisions. Read More» |
Obama Campaigned for President, But Becomes Top Mortgage Banker
Warren Buffett called it an "economic Pearl Harbor." Even the best economists concede they were hit with little warning of the economic sneak attack, ensuing from the mortgage meltdown. All early indications are that Barack Obama, only hours away from being the 44th president, approaches this... Read More» |
Plunging Mortgage Rates Have Lenders Hopping, But Not Celebrating
As mortgage rates plunge below 5 percent mortgage lenders are being flooded with consumer inquiries about mortgage refinance. Read More» |
Bernanke Encourages Return to Original TARP Mandate, Remove Toxic Mortgages
Two of the Federal Reserves top officials advocated a refocusing on ridding bank balance sheets of toxic mortgage assets. In recent statements, both Federal Reserve Chairman Ben Bernanke and Vice Chairman Donald Kohn highlighted the adverse effects these illiquid mortgage assets are having on the... Read More» |
FHLB Running Short on Capital, Bad Mortgage Debt Cited
Another government supported mortgage mortgage agency is in trouble. The Federal Home Loan Bank (FHLB) of Seattle joins the San Francisco FHLB in announcing steps to shore up their capital reserves against toxic residential mortgage assets. Read More» |
2005 Bankruptcy Law Linked to Mortgage Crisis
Debate continues on efforts to give Federal bankruptcy judges the power to modify mortgage loans. Heralded as a way to deliver relief directly to distressed homeowners, new academic studies are cautioning hasty bankruptcy reform. Read More» |
US Housing Market Full of Opportunity for Home Buyers
While the TV talking heads continue to despair about a failing economy, home buyers can grab a great deal on a new home. Read More» |
Federal Reserve Support for Expanded FHA Mortgage Lending
In remarks made to the Boston Mortgage Banker Association, Boston Federal Reserve Bank President Eric Rosengren advocated the expansion of Federal Housing Administration (FHA) lending programs. His statement argued that stabilizing to the US housing market needs to start at the bottom. Read More» |
Paulson Officially Turns Over the Mortgage Crisis to Obama
In a Wednesday statement, outgoing US Treasury Secretary Henry Paulson pointed to President-elect Barack Obama as the "decision maker" for the allocation of the balance of $700 billion in TARP bailout funds. Read More» |
Mortgage Bankruptcy Bill Re-Introduced
A controversial mortgage aid bill returns for lawmakers consideration. First introduced in 2007, Senator Richard Durbin (D-IL) and Representative Brad Miller (D-NC) have re-introduced the Democratic plan to change bankruptcy law. The plan would give judges the authority to adjust the terms of... Read More» |
Fed Begins Buying MBS, Pushing Down Mortgage Rates
Yesterday the Fed bought their first round of mortgage securities guaranteed by Fannie Mae, Freddie Mac, and Ginnie Mae. This kicks off the Federal Reserve's plan to buy $500 billion in mortgage-backed securities by mid-2009, right on schedule. One of many historically unique programs to drive down... Read More» |
Low Mortgage Rates and Sale of IndyMac Bank Ring in New Year
In a mortgage market clamoring for good news, homeowners and investors get a couple of silver linings to kick off 2009. Read More» |
Obama to Cut Wasteful Spending
Faced with a rising deficit and a sour economy, President-elect Obama vows to make tough budget choices down the road. Read More» |
Could 2009 Give Us an Economic Recovery?
In the closing days of 2008, a year fraught with economic turmoil, there are enormous efforts to make 2009 a year of recovery. Is there reason for hope? Read More» |