Another U.S. Mortgage Backer May Need Bailout

http://www.calculatedriskblog.com/

“I don’t think it’s a bad thing that the bad loans occurred. It was an effort to keep prices from falling too fast. That’s a policy.”
Barney Frank, chairman of the House Financial Services Committee on recent FHA lending.

lol

Don't get me started. Every policy put into place thus far serves only to 'prop up pricing' in lieu of real debt restructuring and loss realization. The government is essentially pissing away money with the hope of either: 1)creating a soft landing (best case) or 2) estabilish a floor to values (f'n impossible to do outside of China). Not even the government is 'bigger than the market' and they haven't acknowledged that fact yet. Meanwhile we pile bad debt on top of more bad debt like some PIK junk bond. Geez, wasn't anyone at Treasury in the financial biz in the 80's? Friggin children.

Woo hoo! Repubican Talking points!!!!

Barney Frank, the Massachusetts Democrat who is chairman of the House Financial Services Committee, said in an interview that the defaults were, in essence, worth it.

“I don’t think it’s a bad thing that the bad loans occurred,” he said. “It was an effort to keep prices from falling too fast. That’s a policy.”

why are you repeating this?

And on a related matter

By Robert Schmidt
Oct. 9 (Bloomberg) -- The group Congress created to oversee
the U.S.’s $700 billion financial bailout said the government
needs to increase its efforts to help struggling homeowners
modify their mortgages.

program enhancements could be adopted.”
Republican member Jeb Hensarling, a congressman from Texas,
issued a dissent, which noted that “instead of focusing its
attention on taxpayer protection and oversight, the panel’s
majority report implies that the administration should commit
additional taxpayer funds in hopes of helping distressed
homeowners -- both deserving and undeserving -- with a taxpayer
subsidized rescue.”

F'n lemmings who bought in the last 6 months... hahahahahahahahahahahahahahaha you bunch a little pansies.... GO YOU... if i'm reading the markets correctly (which I AM), you are the little dutch boy and gals being asked to put your finger into the the cracks in the dam, while the people who built the dam and got paid are running for the hillz....

Pls, don't come crying to w67th when your 1bdrm is trading at $300K in 2 yrs... plz...plz... just take it like a man....

LOL w67thstreet

Dude, $300k is going to seem like a FORTUNE for a 1 bedroom when they are selling for $100k in 2012. w67thstreet is going to be crying when he buys at $200k and its worth $100k. Even you Bears are ridiculously optimistic. Good luck with the jobless recovery in the economy thats 70% consumer driven. YOU ARE ALL DELUSIONAL. Every single one of you bears. I can't even start with the bulls. You bears are miscalculating so much, you might as well count yourself as fucked as the current owners.

It looks more and more that Treasury policy it to keep asset prices inflated(real estate), in dollars which can't buy a cup of coffee. If they are successful that apt won't decline in value, but cash will.

dmag, superior much? i don't think you know what many of we bears anticipate. some of us just hope that we are terribly wrong.

rs. delusional. the gov't doesn't have nearly enough money to fill all the holes. if and when they succeed at creating hyperinflation, mobility will be essential.

LOL. The gov't can create an unlimited amount of money. It's just a journal entry. The real question is what will the purchasing power of those dollars be?

you are so simplistic. the rules have changed. we're not viewed as the preeminent source of potential revenue any longer. we have to appease our creditors or we're fucked.

2020 hindsight. Flmao. Unlike spinniker who is on se after he bought, I no longer look at the 997tt market after I have bought in April 09'. Like everyone, only you your partner and your accountant 'know' when it's a good time. Me thinkz the market is saying most partners and accountants and even a bit of self control is in order when buying.

One other point. There are plenty of people earning 1% on their $100k in cash right now. You think if it hit $100k for a 1 bdrm (assuming rent / buy ratio is same and fluctuating) that the marginal benefit even factoring in further (prob) of declines will be better than having $100k in the bank. I'm a realist, $500psf NYC prime. I'm a buyer based upon my current finances at $500psf, but am always willing to edumcate myself.

Lemmings, oddly they don't smell lemony.

Sane and not flatulating. Gotta go take some namenda.