Category Archives: Risky Lending

Rescuing SIVs

Posted on October 15, 2007 by grim

From the Wall Street Journal Rescue Readied By Banks Is Bet To Spur Market By CARRICK MOLLENKAMP, DEBORAH SOLOMON and ROBIN SIDEL October 15, 2007; Page A1 The high-stakes plan to rescue banks from losses on mortgage securities amounts to … Continue reading →

Posted in National Real Estate, Risky Lending | 1 Comment

Nomura out of U.S. subprime

Posted on October 15, 2007 by grim

From Reuters: Nomura to exit US mortgage business, post big loss Nomura Holdings, Japan’s largest brokerage, said it would pull out of the U.S. residential mortgage-backed securities market and cut its U.S. work force by about 30 percent, pushing it … Continue reading →

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Borrowers facing “tough times”

Posted on October 14, 2007 by grim

From the Home News Tribune: Many home owners suffer under high-interest loans Expensive, high interest rate mortgage loans continued to grab a larger share of the market last year, and thousands of homeowners like Paul and Elizabeth Duncan are feeling … Continue reading →

Posted in New Jersey Real Estate, Risky Lending | 12 Comments

“Times are tough in the mortgage-lending business.”

Posted on October 14, 2007 by grim

From the Record: Lender laws in works Times are tough in the mortgage-lending business. Not only are brokers and bankers coping with a severe credit crunch and a slowdown in loan applications, but they are facing legislation and rule changes … Continue reading →

Posted in New Jersey Real Estate, Risky Lending | 3 Comments

Fixed rate too ‘boring’ for Gen X?

Posted on October 12, 2007 by grim

From Bloomberg: Tie Me Up, Tie Me Down to Fixed-Rate Home Loan There’s nothing wrong with fixed — the fixed-rate mortgage, that is. As the mortgage crisis has unfolded, everyone has blamed the new-fangled mortgages: Interest-only, pick-a-payment, subprime ARMs, Alt-As … Continue reading →

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“[R]isky mortgages were made in nearly every corner of the nation”

Posted on October 11, 2007 by grim

From the Wall Street Journal: The United States of Subprime Data Show Bad Loans Permeate the Nation; Pain Could Last Years By RICK BROOKS and CONSTANCE MITCHELL FORD October 11, 2007; Page A1 As America’s mortgage markets began unraveling this … Continue reading →

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If illegals can pay their mortgages, why can’t we?

Posted on October 9, 2007 by grim

From the WSJ: Unlikely Mortgage Winner Illegal-Immigrant Loans Have Been Solid Bets; Threats Are Looming By MIRIAM JORDAN October 9, 2007; Page C1 Despite the downturn of the mortgage market, a type of home loan has remained surprisingly sturdy: one … Continue reading →

Posted in National Real Estate, Risky Lending | 7 Comments

Racing against foreclosure

Posted on October 6, 2007 by grim

This Bergen County property was purchased in July of 2004 for $675,000. While I don’t have any details about the original financing, or if the loan was refinanced between purchase and today, I do know that the outstanding mortgage balance … Continue reading →

Posted in New Development, Risky Lending | 17 Comments

Mortgages “going delinquent at the fastest rate this decade”

Posted on October 5, 2007 by grim

From the Financial Times: Subprime defaults fastest in decade US subprime mortgages written during the first half of the year are going delinquent at the fastest rate this decade, according to a report from Moody’s on Thursday that analyses home … Continue reading →

Posted in National Real Estate, Risky Lending | 1 Comment

“In our opinion, the full impact is yet to come.”

Posted on September 27, 2007 by grim

From Bloomberg: Subprime-Mortgage Defaults Rose Last Month, Data Show Late payments and defaults among subprime mortgages packaged into bonds rose last month, according to data for loans underlying benchmark ABX derivative indexes. After August payments, 19.1 percent of loan balances … Continue reading →

Posted in Housing Bubble, National Real Estate, Risky Lending | Comments Off on “In our opinion, the full impact is yet to come.”

“There always seemed to be an endless supply of people willing to buy these”

Posted on September 24, 2007 by grim

From the NY Times: Risky Loans Help Build Ghost Town of New Homes Along the streets of Far Rockaway, many recently built two- and three-family town houses sit waiting for even one family to move in. Some have boarded-up windows, … Continue reading →

Posted in National Real Estate, New Development, Risky Lending | 120 Comments

Scrap the bailout

Posted on September 24, 2007 by grim

From the Asbury Park Press: Drop mortgage bailout plan No one wants to see people lose their homes. But the state is in no position to rescue residents who have made bad financial decisions. The state Housing and Mortgage Finance … Continue reading →

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No more easy money

Posted on September 18, 2007 by grim

From the Courier Post: With credit crunch, location does matter You’ve heard about how the credit crunch has made it harder for many types of buyers to afford a home or qualify for a mortgage. First-time buyers. Those moving up … Continue reading →

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“The days of liberal lending are over”

Posted on September 16, 2007 by grim

From the Record: Falling appraisals hurt deals The buyer agreed to pay $890,000 for a Wyckoff town house. But the appraiser said the property was worth only $840,000. Spooked by the lower valuation, the buyer cut her offer to $825,000, … Continue reading →

Posted in New Jersey Real Estate, Risky Lending | 111 Comments

“Unfortunately, it’s kind of grim”

Posted on September 15, 2007 by grim

From the Journal News: Foreclosures hit region hard National problems with the subprime mortgage market are surfacing in the Lower Hudson Valley, as creditors go to court to foreclose in sharply higher numbers this year, a survey of county clerks’ … Continue reading →

Posted in Housing Bubble, National Real Estate, Risky Lending | 1 Comment