Second Lien Writedowns, II - R.A. (Ryan Avent!) writes in response to my previous entry: [Mike's thesis] places the government in a bind. If it forces banks to write down worthless second mortgages to clear …
Read Rest of Mortgage Related: Second Lien Writedowns, Barney and Seconds, Shadow Inventories, Florida in 2030
this is shocking – New York Fed and Treasury Tell Banks to Hold Cash – Posted by Larry Doyle - How often have Americans heard politicians screaming at banks for not providing credit? How often …
Read Rest of Government Related: Banks Hold Cash, Federal Reserve, Tightening to Come, Charter flipping, FHFA Sliding Scale, Bulldoze Detroit, Leverage is Back
Who says that numbers aren’t fun? A top muni bond analyst at Wells Fargo sent this to me:
What If Everybody in Canada Flushed At Once?
Sometimes time drags, and sometimes it flies. I came to this brilliant observation yesterday while waiting in the California DMV, …
Read Rest of Negative convexity defined; News from Wells, ING, EverBank, MGIC; HUD’s latest letter; California stats
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Read Rest of Bits Bucket For March 11, 2010
For individuals who have been dealing with plumbing problems and are not sure what to do or where to turn, making use of a plumber can be a wise option. However, you may be curious about how to find good plumbers in your area if it is your first time needing plumbing services. Here are a few guidelines to help you out in your search.
There are many ways to find a plumber both online and offline. However, if you are looking for quality work, there are some other things to consider. You want to make sure that the plumber you …
Read Rest of Suggestions For Hiring Good Plumbers
housing and the stock market – The Rubber Hits the Road – John P. Hussman, Ph.D. …
Read Rest of Housing, Mortgages, and Stock Market – John Hussman, Diane Swonk, 3 Risks, Reverse Foreclosures, Real Estate Lies, RESPA, Principal Writedowns
Testing the Rate Barrier – Every few months I draw the spotlight on long-term US interest …
Read Rest of Markets and the Economy: Rate Barrier, CA and Swaps, 3 Great Videos, Jim Rogers Long Euro, Gen Y Retirement
The Press Enterprise reports from California. “Moreno Valley provides a window into the turbulent housing market left in Riverside and San Bernardino counties after real estate prices collapsed. When Inland home prices hit bottom in the second quarter of last year, existing Moreno Valley homes sold at a median price of $139,226, meaning half sold for more and half for less, according to MDA DataQuick. Also, Moreno Valley was more vulnerable to foreclosures than most Inland cities because almost 10 percent of its 5,461 homes had been built in 2005 or later. That was when frenzied buying drove …
Read Rest of Draining The Swamp In California
To Our Clients, Colleagues and Friends,
California’s General Obligation bonds yield about the same as bonds from Greece , but anyway, 30-year California G.O.’s are paying 6%. Because they’re exempt from state and federal taxes, higher-income Californians in a 40% combined federal and state tax rate get the equivalent of a 10% yield. Not bad.
Audited financials are starting to come in, and they’re confirming what we saw all year. Top performing mortgage bankers made 90-100 bps per loan. That means that for …
Read Rest of The Garrett, Watts Report (March 10, 2010)
At the last company Christmas party the loan agents lined up on one side of the room and the underwriters on the other side. The loan agents throw fire cracker at the underwriters…and the underwriters lit them and threw them back.
A long-time underwriter wrote to me and opined, “Consumers always want more than what they can afford and we gave them exactly what they …
Read Rest of Mar. 10: Comments on loan quality; Interesting FICO numbers; Will the Fed sell their MBS’s? Apps up, Rates steady