mrmortgag2  This is totally scary – has copy of actual letter – Rome Burns & Washington Looks For the Bogeyman – Yes Washington, hedgefunds did cause this. Fannie Mae and Freddie Mac, the largest hedgefunds of all time. This is disgusting.  What a waste of time…they are hell-bent are taking all liquidity out of the markets.  -Best, Mr Mortgage 
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This Too Shall Pass – Dr. Robert J. Froehlich – Dr. Robert J. Froehlich is Vice Chairman of DWS Investments and serves as Chief Investments Strategist. DWS Investments is the US retail brand of Deutsche Bank’s global asset management division. – riskcenter.com 
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Distress Breeds Opportunity – As market conditions continue to soften, even the builders who have already filed bankruptcy are licking their chops – anticipating what will certainly become the land buying opportunity of this generation. … This map pinpoints areas where construction loan distress is the greatest - California, Florida, Arizona, Nevada, Utah, Michigan, Tennessee and Georgia.  … -  John Burns RE Consulting

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major article: The Last Trillion-Dollar Commitment – The Destruction of Fannie Mae and Freddie Mac – Peter J. Wallison, Charles W. Calomiris – FINANCIAL SERVICES OUTLOOK – AEI Online   

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The Credit Crunch: Where Is It Happening? – Barbara Kiviat – talks about mortgages, credit cards, student loans, auto loans … – TIME 
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Recent Vintage Alt-A US RMBS Delinquencies up Sharply -  from S&P … As of the August 2008 distribution date, total delinquencies among U.S. Alternative-A residential mortgage-backed securities (RMBS) transactions originally rated in 2005, 2006, and 2007 were 16.26%, 22.48%, and 15.74% of the aggregate pool balances for the 2005, 2006, and 2007 vintages, respectively. … more at Research Recap

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The limits on FDIC deposit insurance should be raised, and the sooner the better. Vernon Hill explains why at bankstocks.com
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Home Truths – Thomas Cooley – SEC issues interpretation that may ease fair-value rules - Floyd Norris – The Securities and Exchange Commission said it was not changing but interpreting the mark-to-market accounting rule, but the development is expected to ease the controversial standards. The SEC is under pressure from banks, industry groups and lawmakers to change or even suspend the rules for fair-value accounting. Some said the rules forced banks to take significant write-downs, exacerbating the financial crisis. – The New York Times 

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Why the Wachovia deal is a home run for Citi – Amid all the hand-wringing over Wachovia’s demise, people are ignoring the fact that Citi’s getting a really good deal. Tom Brown explains at bankstocks.com
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Hedge Funds: The Next Shoe to Drop – Felix Salmon – … What happens when investors decide to take their money out tomorrow, as they’re generally allowed to do on the first day of any quarter? … -   Portfolio.com
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Banking Crises Around The World – The Liscio Report On the Economy by Philippa Dunne and Doug Henwood – … major study of 42 fairly recent banking crises around the world. Result? Some types of government intervention works and some don’t. One characteristic that is needed though is speed. … – John Mauldin’s Outside the Box E-Letter 

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Announcing HOPE for Homeowners Program -  The HOPE for Homeowners (H4H) program was created by Congress to help those at risk of default and foreclosure refinance into more affordable, sustainable loans. H4H is an additional mortgage option designed to keep borrowers in their homes. The program is effective from October 1, 2008 to September 30, 2011. As many as 400,000 homeowners could avoid foreclosure through this program over the next three years. – Hud.gov Mortrgagee Letters

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Thornburg alters, extends tender offer – Thornburg Mortgage Inc. said Wednesday it was unable to come to an agreement with its reverse repurchase agreement counterparties in time to complete a tender offer that expired Tuesday and has now changed the terms of the offer. … more – Bizjournals.com