As expected, in a 9-1 vote the FOMC cut the federal funds and discount rates by 50 basis points yesterday. The statement largely echoed last week’s 75 bp inter-meeting cut language, with only a few changes. “Financial markets remain under considerable stress,” “a weakening of the economic outlook;” and in addition, the statement contained a [...]

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Posted by Bill Coppedge Mortgage group mulls federal loan program changes - The study circulated within the American Securitization Forum and obtained by Reuters says more than 600,000 troubled homeowners could win new mortgage terms after easing terms of the Federal Housing Administration -  Reuters ———— WSJ -   Audio visual presentation of 4 stock market [...]

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To Our Clients, Colleagues and Friends:   · In working with current or potential warehouse lenders, we suggest you show them your 2007 income statement prepared, informally,  in two ways.  Prepare a separate Profit and Loss Statement that shows losses from repurchased loans – with an adjusted bottom line that shows what your profit or loss [...]

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With Edwards dropping out of the race, and Giuliani expected to do so today, will that mean more rate locks? No, but what were locks like last week? “The best week I’ve ever had!” “I took 15 apps in one day!” “I suddenly have 40 locks in my pipeline!” “I was too busy to schedule [...]

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I called CitiMortgage to check on when my 4.75% 30-yr balloon adjusts (2010, but my trigger finger is getting itchy), when the customer service representative finished the call by telling me that I qualified for a Citi HELOC. I was elated. She explained that there were no fees, no costs, no application procedure, just a [...]

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BBC Model, Rates Tumble, NY Suit, PAO Delinquencies, Real, CA RE Auctions, To the Rescue, Mike Morgan Florida, Survival, $143 Billion, No Equity, Clayton Immune, Marty Whitman, Ghost Town Beautiful Model For Fraud - I stumbled across an interesting article in the BBC called The US sub-prime crisis in graphics. Following is my annotated version [...]

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“That was a nice refinance boom we had Wednesday morning, although I wish it had lasted a little longer,” said more than one mortgage banker.  As the bond market soared to new heights, conforming fixed note rates were available at or near 5.00%, touching off an avalanche of mortgage origination.  “Wednesday was one of the [...]

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If you see a home listed for sale, who’s selling it? According to an article by Kenneth Harney over the weekend, in the Bakersfield area, 45% of current sales listings are REO properties. They have become the new comps for appraisers. Merrill Lynch is predicting Fed Funds to hit 1% and the yield on the [...]

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Yield Curve, Good Summary, Stimulus Update, Rolfe Winkler, Atonement, Jeremy Grantham, Bill vs Funds, Wachovia Call, IndyMac 3, 1st in 40, Candidates on Subprime, Jumbos in TBAs, John Mauldin, Buy Beer Now, Life Raft The Yield Curve  -  … I believe the Fed’s rate cut was NOT a cut to prop up equity prices, but [...]

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To Our Clients, Colleagues and Friends: · CEO Jamie Dimon of JP Morgan said that delinquencies on broker-originated loans are three times higher than on loans originated in-house.  We’ve heard first-hand from companies that tell us that 90% of their re-purchases came from their wholesale channel.  Is this true in your shop?  Do you find [...]

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