Housing Bubble Bursting?

[Dee Dee]

The mainstream media I read have stopped even trying to give any credence to Nar's press releases. They report it, in one sentence, then follow up with all the "buts".

I don't think real economists are listening to NAR at all.

And real appraisers never paid any attention to them....ever.

 

[Karl]

Hey Dee Dee Gold is at 881!!

 

[Dee Dee]

Hey Dee Dee Gold is at 881!!

Keul! :icon_cool:

 

[Randolph Kinney]

Looks like the end is coming for both IndyMac and Countrywide

Mortgage lenders, insurers slammed by delinquency concerns

Countrywide Financial said earlier on Wednesday that its loan delinquency rate surged to 7.2% of unpaid principal balance from 4.6% a year earlier. November's rate was 6.52%.

Countrywide shares dropped 6.4% to $5.12 on Wednesday, adding to a 28% slump from Tuesday. Other mortgage lenders also fell, led by IndyMac, which dropped 17% to $4.70.

It is a race to the bottom for Countrywide and IndyMac. The delinquency rate is still climbing for all loans, not just subprime.

I suppose after these banks fail, the FED will act and cut interest rates.

 

[Riick]

Mortgage lenders, insurers slammed by delinquency concerns

It is a race to the bottom for Countrywide and IndyMac. The delinquency rate is still climbing for all loans, not just subprime.

I suppose after these banks fail, the FED will act and cut interest rates.

They can cut rates to Zero.
They can pay you to take a loan.
Still won't help bank with virtually no current income, ongoing expenses,
and huge amt of forclosures looming on horizon.

 

[Randolph Kinney]

December retail sales disappointing

Weak sales undermine profits

NEW YORK (MarketWatch) -- U.S. retailers reported disappointing holiday sales in December, which in turn sparked some profit warnings, after promotions, last-minute shopping and gift-card redemptions failed to turn around lackluster performance in the largest sales month of the year.

Concerns about higher gasoline prices and food costs as well as declines in the credit and housing markets have reduced shoppers' mall trips and made them tighten their purse strings, analysts said.

A lack of must-have fashion items also hurt appetite for apparel buying, they said. Retailers, while trying to keep inventory lean at the start of the season, have been pressured to give more discounts to clear unsold merchandise, pressuring profit margins, investors said.

U.S. retailers are forecast to report a gain of about 1% in December sales at stores open at least a year, compared with a 3.3% gain a year earlier, according to the International Council of Shopping Centers.

No doubt about it, retail sales are declining albeit at a slow dribble. It is just another sign of the economy slipping into recession.

 

[Randolph Kinney]

Save me! Countrywide to Bank of America

Bank of America in talks to buy Countrywide: Wall Street Journal

SAN FRANCISCO (MarketWatch) - Bank of America is in advanced talks to acquire Countrywide Financial, possibly stepping in to save the struggling mortgage lender, the Wall Street Journal reported on Thursday, citing unidentified people familiar with the matter.

It isn't clear how quickly a deal might be struck, but two people familiar with the matter said it could occur very soon, the newspaper said. It's also possible that an agreement could be delayed or fall apart altogether, it added.

The New York Stock Exchange asked Countrywide to comment publicly on Thursday, but the company declined.

Countrywide shares soared 51% to $7.75 during afternoon trading on Thursday.

Mortgage crisis is just a bailout away.

 

[Randolph Kinney]

FED: Big time trouble means we cut interest rates

U.S. stocks spike as Fed chief hints at aggressive rate cuts

NEW YORK (MarketWatch) -- U.S. stocks bounced back in midday trading Thursday, as investors took prepared remarks by Federal Reserve Chairman Ben Bernanke as indicating that the central bank will further cut interest rates.

In a prepared speech, Bernanke said that additional rate cuts may well be necessary.

 

[JSmith43]

Mortgage lenders, insurers slammed by delinquency concerns

It is a race to the bottom for Countrywide and IndyMac. The delinquency rate is still climbing for all loans, not just subprime.

I suppose after these banks fail, the FED will act and cut interest rates.

The stock price probably reflects future business prospects more for Indy since their A(-) niche opportunities disappeared I'm not sure I'd equate how the two companies stocks got hammered. Somewhat differing reasons, I think. Indy was a good niche player, IMO. CW? Perhaps too......innovative Some might say fast and loose. I'll wait for a later version of the history to be written & make up my mind then.

Yesterday a CW LO hound called me. Oops, I'd already been recruited by a competitor in August. I wished him good luck & told him to do what they could to keep out of the headlines. The guy told me my former company, a very good MB, slapped them with a legal injunction for raiding employes by using confidential contact lists perhaps extorted from new hires.

I was asked politely to cough up some contact info myself by my new employer, but, only gave them a few leads of LO's that moved on. My employer understood and, perhaps even respected my decision to not share info on the best LO's currently at my former employer.

Youze guyz still dancing on the mass grave of the real estate lending industry?


Us survivors are doing OK. Basically, the cheese got moved and in many places there is less of it. Frankly, business was pretty good in November & December. I had to work a bit each of the 10 days I was visiting the FL beaches. Thanks for the temp. surge D20-30th! That was great!!

 

[Terrel L. Shields]

to cough up some contact info myself

Great way to get rid of morons on your staff...

Ditto for those newbie banks wanting to make loans. The "old timers" were tickled pink to shed a lot of PITA borrowers and let the new boys earn their keep trying to get money out of them.

One LO I know had a builder come to him wanting him to take all his biz (about $3 million worth debt) The LO told him that he couldn't match the interest rate and it'd be smart for him to stay put where he was....

The dummie didn't even catch on the LO didn't want his business...he was stretched thin as hot butter on toast.