IEHI Feed: The Mortgage Lender Implode-o-Meter

Lowball Appraisals Spark Uproar

Fri, 03 Jul 2009 21:14:44 GMT

"Complaints about lowballed appraisals -- from builders, real estate agents, consumers and mortgage companies -- have erupted since May 1, when government-backed Fannie Mae and Freddie Mac put their new appraisal rules into effect nationwide. Critics charge that the new system fosters the use of appraisers willing to work for low fees -- sometimes 50 percent below previous standards -- and who are willing to conduct home appraisals far outside their typical areas of activity."

The Independence Rap: Because the children ARE our future.

Fri, 03 Jul 2009 21:07:09 GMT

"Tomorrow is Independence Day. And Independence Day is a uniquely American holiday. It commemorates the day on which our Founding Fathers, after more than a year in the Continental Congress debating the issue of independence from the British Crown, finally compromised, and one by one rose to take the quill pen in hand in order to append their signature to the document written by Thomas Jefferson, our Declaration of Independence."

Zero Down Is a Foreclosure Factor (Duh)

Fri, 03 Jul 2009 18:52:07 GMT

"There is a kind of weird OpEd in today’s WSJ by Stan Liebowitz. The professor makes the incredible discovery that zero down payments, 100% LTV financings tend to slide in great numbers into foreclosure"

Burn the Skunk. Immolate Mortgage Crisis.

Fri, 03 Jul 2009 18:48:18 GMT

"Obviously it’s a crazy idea, but isn’t it logical for a crazy problem to have an insane solution? Don’t’ get it? Refer to the novel “Catch 22”. Then get back to me."

What Madoff, Minkow and Ponzi now have in common

Fri, 03 Jul 2009 18:41:18 GMT

"It's not the first time Bernard L. Madoff has had his name in lights this year. But with his induction into the newly launched Con Artist Hall of Infamy, it may well be the first time that his exploits will serve a constructive purpose. "

Who Regulates Banks Best? Bozo or Barney

Fri, 03 Jul 2009 18:38:45 GMT

"Call me a clown Barney, but, in my opinion, a borrower has income which makes repayments likely. The amount of the income and the amount of the loan walked hand-in-hand together. Think of it like you and Liberace at the beach."

Why controlling housing budgets will be good news for councils

Fri, 03 Jul 2009 18:32:41 GMT

" Handling their own housing finance will give local authorities both a confidence boost and an opportunity to become bigger players in the housing market"

Housing finance reforms were nearly scrapped

Fri, 03 Jul 2009 18:31:10 GMT

'At one stage, despite all the effort that has gone into finding solutions, it looked as if reform would be put into the “too difficult” tray in Whitehall,’ he said.
‘Fortunately it has not and there now lies ahead the challenge of delivering what the minister calls a “radical dismantling” of the notorious system.’

Housing authority awarded funds

Fri, 03 Jul 2009 18:28:56 GMT

"The Concord Housing Authority could begin building a development at Parmenter Road by the fall, after receiving federal funding to help the project along."

State agency awards tax credits for housing for seniors, the homeless in Midtown Cleveland

Fri, 03 Jul 2009 18:26:27 GMT

" A state agency awarded more than $26 million in tax credits for affordable housing Thursday -- including awards that will support two controversial projects in Midtown Cleveland."

Rep. Mark Kirk on China's gold buying plans

Fri, 03 Jul 2009 18:24:21 GMT

"Here's the video to go along with yesterday's item about the Chinese wanting to exchange lots more U.S. dollars for gold. Skip directly to 3:20 to hear about their future buying plans."

Here Comes The Second Stimulus!

Fri, 03 Jul 2009 18:21:48 GMT

" Today's disappointing jobs number is certain to trigger a serious push for a second stimulus bill."

HCI Mortgage owner Richard Harsche Pleads Guilty

Fri, 03 Jul 2009 15:53:28 GMT

More than likely Lake Ariel, Pennsylvania-based Home Consultants Inc. (dba HCI Mortgage) is or will soon be out-of-business, perhaps in part due to a guilty plea from owner Richard Harsche. We've received a number of recent tips that point to a complete shutdown of the company and its network of retail and net branch offices...

Feds Arrest, Bully Monetary Activists

Fri, 03 Jul 2009 01:14:47 GMT

Von NotHaus, Innis, and others. Simple and powerful presentation -- click through for video.

Commodities Markets Not So Frothy; Stocks Undervalued

Fri, 03 Jul 2009 00:52:35 GMT

``The energy sector never reached above a 20% weighting in the S&P 500 as the last three bubbles did, and did not experience the same decline in loss of S&P weighting. It’s not hard to understand why the sector did not give back much of its weighting in the S&P over the last year as one simply has to look at valuation levels. The sector reached a trailing PE ratio of 5.8 in March of this year, corresponding to an earnings yield (inverse of the PE ratio) of 17.24%, nearly seven fold greater than the 2.5% yield on the 10-yr UST at the time. Given its cheap valuations it’s hard to see the sector’s weight in the S&P 500 fall much further, particularly so when it is the most undervalued sector of all ten S&P sectors.''

It’s Independence Day, As We Become More Dependent

Thu, 02 Jul 2009 21:22:15 GMT

Writes NY Times business columnist David Leonhardt: “it’s hard not to look back on the last six months and worry that the administration is still underestimating the severity of the situation…. The problems are too big. So it would make sense for everyone — the administration and the rest of us — to have a sober view of what might lie ahead.”

Judge Says Hyperlinks Should Be Banned to Save Newspapers

Thu, 02 Jul 2009 17:27:00 GMT

" Famous and respected New York Judge Richard Posner says maybe we should ban links to save newspapers."

Fitch Takes Action on Older Subprime Mortgage Securitizations

Thu, 02 Jul 2009 17:08:28 GMT

"Fitch Ratings took action on thousands of classes of subprime residential mortgage-backed securities (RMBS) issued prior to 2005, including many downgrades of some classes further into triple-C and single-D junk territory and affirmations of other triple-A classes."

HUD Expands Making Home Affordable Eligibility

Thu, 02 Jul 2009 17:05:42 GMT

"On July 1, 2009, U.S. Housing and Urban Development (HUD) Secretary Shaun Donovan announced an expansion of the Making Home Affordable Refinance Program to include borrowers who are current but up to 125 percent underwater on their mortgage. The announcement was made while the Secretary toured a Las Vegas neighborhood with Senate Majority Leader Harry Reid (D-NV) and Congresswoman Dina Titus."

Bloomberg Misses Real Story on Latest Official Chinese Comments on Dollar

Thu, 02 Jul 2009 17:03:08 GMT

" Lordie, is the media incapable of doing anything more than writing up official remarks?"