[davelj]

To paraphrase Mark Twain:

“It’s not the things you don’t know that get you into trouble; it’s the things you know for certain that just ain’t so.”

[davelj]

To paraphrase Mark Twain:

“It’s not the things you don’t know that get you into trouble; it’s the things you know for certain that just ain’t so.”

[davelj]

To paraphrase Mark Twain:

“It’s not the things you don’t know that get you into trouble; it’s the things you know for certain that just ain’t so.”

[davelj]

This is exactly why I can’t take the guy seriously. The defaults will be very high. There’s no doubt about that. But 100%? I mean, please. Lighten up, Francis. Take your medication, bro.

[davelj]

This is exactly why I can’t take the guy seriously. The defaults will be very high. There’s no doubt about that. But 100%? I mean, please. Lighten up, Francis. Take your medication, bro.

[davelj]

This is exactly why I can’t take the guy seriously. The defaults will be very high. There’s no doubt about that. But 100%? I mean, please. Lighten up, Francis. Take your medication, bro.

[davelj]

I suspect – “suspect” being the operative word – that these rates are going to back up even more by the end of the year. My gut tells me that these rates are still 50 to 100 bps below where they need to be to generate a risk-adjusted return to the ultimate holder. Speaking for myself I wouldn’t dream of charging just 7.9% to a borrower with a 700 FICO and 20% Down (full-doc) prior to real estate prices firming up. But, hey, that’s just me. These whackos have been underpricing these mortgages for years. There’s no reason for them to get religion in one fell swoop. It’ll take some more time (and more losses) I suppose.

[davelj]

I suspect – “suspect” being the operative word – that these rates are going to back up even more by the end of the year. My gut tells me that these rates are still 50 to 100 bps below where they need to be to generate a risk-adjusted return to the ultimate holder. Speaking for myself I wouldn’t dream of charging just 7.9% to a borrower with a 700 FICO and 20% Down (full-doc) prior to real estate prices firming up. But, hey, that’s just me. These whackos have been underpricing these mortgages for years. There’s no reason for them to get religion in one fell swoop. It’ll take some more time (and more losses) I suppose.

[davelj]

I suspect – “suspect” being the operative word – that these rates are going to back up even more by the end of the year. My gut tells me that these rates are still 50 to 100 bps below where they need to be to generate a risk-adjusted return to the ultimate holder. Speaking for myself I wouldn’t dream of charging just 7.9% to a borrower with a 700 FICO and 20% Down (full-doc) prior to real estate prices firming up. But, hey, that’s just me. These whackos have been underpricing these mortgages for years. There’s no reason for them to get religion in one fell swoop. It’ll take some more time (and more losses) I suppose.

[davelj]

I got it from a different forum, but the link is the same. Here it is:

https://www.cwbc.com/PdfFiles/WLDBC%20CA.pdf

[davelj]

I got it from a different forum, but the link is the same. Here it is:

https://www.cwbc.com/PdfFiles/WLDBC%20CA.pdf

[davelj]

I got it from a different forum, but the link is the same. Here it is:

https://www.cwbc.com/PdfFiles/WLDBC%20CA.pdf

[davelj]

My response (circa 2005):

Let me begin by passing along my congratulations to the many people who are celebrating the current situation in the housing market. In concert with much of the national and local media, they have been able to artificially construct something that has never —- I repeat, never —- been done before: drive UP housing prices to a heretofore never seen level of insanity unsupported by any rational evaluation of housing fundamentals.

[His rant is so rich in irony it’s priceless.]

[davelj]

My response (circa 2005):

Let me begin by passing along my congratulations to the many people who are celebrating the current situation in the housing market. In concert with much of the national and local media, they have been able to artificially construct something that has never —- I repeat, never —- been done before: drive UP housing prices to a heretofore never seen level of insanity unsupported by any rational evaluation of housing fundamentals.

[His rant is so rich in irony it’s priceless.]

[davelj]

My response (circa 2005):

Let me begin by passing along my congratulations to the many people who are celebrating the current situation in the housing market. In concert with much of the national and local media, they have been able to artificially construct something that has never —- I repeat, never —- been done before: drive UP housing prices to a heretofore never seen level of insanity unsupported by any rational evaluation of housing fundamentals.

[His rant is so rich in irony it’s priceless.]

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