[rocket science]

Another article in the LA Times today.

Loan fix requires investors to yield

Tom Petruno

The success of the Bush administration's plan to stem home foreclosures will hinge in large part on whether the investors who own sub-prime mortgages will play along and accept lower interest payments to keep people in their houses.

He quotes one of the guys from the video link in the kev374 post above.

Josh Rosner, suggests that a rash of legal challenges to loan modificaions is inevitable.

rs

[rocket science]

Another article in the LA Times today.

Loan fix requires investors to yield

Tom Petruno

The success of the Bush administration's plan to stem home foreclosures will hinge in large part on whether the investors who own sub-prime mortgages will play along and accept lower interest payments to keep people in their houses.

He quotes one of the guys from the video link in the kev374 post above.

Josh Rosner, suggests that a rash of legal challenges to loan modificaions is inevitable.

rs

[rocket science]

Another article in the LA Times today.

Loan fix requires investors to yield

Tom Petruno

The success of the Bush administration's plan to stem home foreclosures will hinge in large part on whether the investors who own sub-prime mortgages will play along and accept lower interest payments to keep people in their houses.

He quotes one of the guys from the video link in the kev374 post above.

Josh Rosner, suggests that a rash of legal challenges to loan modificaions is inevitable.

rs

[rocket science]

Another article in the LA Times today.

Loan fix requires investors to yield

Tom Petruno

The success of the Bush administration's plan to stem home foreclosures will hinge in large part on whether the investors who own sub-prime mortgages will play along and accept lower interest payments to keep people in their houses.

He quotes one of the guys from the video link in the kev374 post above.

Josh Rosner, suggests that a rash of legal challenges to loan modificaions is inevitable.

rs

[rocket science]

Another article in the LA Times today.

Loan fix requires investors to yield

Tom Petruno

The success of the Bush administration's plan to stem home foreclosures will hinge in large part on whether the investors who own sub-prime mortgages will play along and accept lower interest payments to keep people in their houses.

He quotes one of the guys from the video link in the kev374 post above.

Josh Rosner, suggests that a rash of legal challenges to loan modificaions is inevitable.

rs

[rocket science]

Some of these points are similar to Rich’s latest write up.But there is another article right next to this one in the LA Times with a Q&A on the process.Cash-strapped borrowers gain time to improve credit, equityhttp://www.latimes.com/business/la-fi-subprimeqa7dec07,1,380708.story?coll=la-headlines-business&ctrack=5&cset=trueOne excerptWho qualifies for the rate freeze?

First, the residence must be owner-occupied. The borrower must be no more than 30 days late on his or her mortgage payments and have a FICO credit score of 660 or less. The loan must have been originated in January 2005 to July 2007 and have an initial reset date of January 2008 to July 2010. Also, the borrower must have less than 3% equity in the home.And then they include an example where the borrower will pay ~$28,300 less per $100K  of loan for the 30 year loan with the freeze, assuming they are paying P&I.  Or in other words the bank gets ~$28,300K LESS per $100K of loan for the 30 year loan.  Are a lot of lenders going to buy into this?And of course we can surely assume they are most likely a large percentage of interest only loans.And the instigators of this apparently didn’t read this article (courtesy of gary_broker, not sure if it has been in another thread) http://finance.yahoo.com/real-estate/article/103872/Real-Estate:-Buy,-Sell,-or-Hold;_ylt=AoYhL5ognSwCfrwaIJ3.KbC7YWsAwhich uses the rental ratio concept analysis to predict that anyone w/o any equity in their house now (see less tna 3% to qualify above) is sure to be way underwater in 5 years when it is time to reset! Bingo! Almost guarantees they all get foreclosed because they can’t refi then w/o equity!

 

And then the third LA Times article in today’s paper right next to the other two is the coup de gras.All this might just be too late……. Mortgage delinquency rate risesThe number of Americans who fell behind on their mortgage payments rose to a 20-year high in the third quarter as borrowers were unable to refinance or sell their homes…http://www.latimes.com/business/la-fi-foreclose7dec07,1,6968753.story?coll=la-headlines-business&ctrack=8&cset=true

rs

[rocket science]

Some of these points are similar to Rich’s latest write up.But there is another article right next to this one in the LA Times with a Q&A on the process.Cash-strapped borrowers gain time to improve credit, equityhttp://www.latimes.com/business/la-fi-subprimeqa7dec07,1,380708.story?coll=la-headlines-business&ctrack=5&cset=trueOne excerptWho qualifies for the rate freeze?

First, the residence must be owner-occupied. The borrower must be no more than 30 days late on his or her mortgage payments and have a FICO credit score of 660 or less. The loan must have been originated in January 2005 to July 2007 and have an initial reset date of January 2008 to July 2010. Also, the borrower must have less than 3% equity in the home.And then they include an example where the borrower will pay ~$28,300 less per $100K  of loan for the 30 year loan with the freeze, assuming they are paying P&I.  Or in other words the bank gets ~$28,300K LESS per $100K of loan for the 30 year loan.  Are a lot of lenders going to buy into this?And of course we can surely assume they are most likely a large percentage of interest only loans.And the instigators of this apparently didn’t read this article (courtesy of gary_broker, not sure if it has been in another thread) http://finance.yahoo.com/real-estate/article/103872/Real-Estate:-Buy,-Sell,-or-Hold;_ylt=AoYhL5ognSwCfrwaIJ3.KbC7YWsAwhich uses the rental ratio concept analysis to predict that anyone w/o any equity in their house now (see less tna 3% to qualify above) is sure to be way underwater in 5 years when it is time to reset! Bingo! Almost guarantees they all get foreclosed because they can’t refi then w/o equity!

 

And then the third LA Times article in today’s paper right next to the other two is the coup de gras.All this might just be too late……. Mortgage delinquency rate risesThe number of Americans who fell behind on their mortgage payments rose to a 20-year high in the third quarter as borrowers were unable to refinance or sell their homes…http://www.latimes.com/business/la-fi-foreclose7dec07,1,6968753.story?coll=la-headlines-business&ctrack=8&cset=true

rs

[rocket science]

Some of these points are similar to Rich’s latest write up.But there is another article right next to this one in the LA Times with a Q&A on the process.Cash-strapped borrowers gain time to improve credit, equityhttp://www.latimes.com/business/la-fi-subprimeqa7dec07,1,380708.story?coll=la-headlines-business&ctrack=5&cset=trueOne excerptWho qualifies for the rate freeze?

First, the residence must be owner-occupied. The borrower must be no more than 30 days late on his or her mortgage payments and have a FICO credit score of 660 or less. The loan must have been originated in January 2005 to July 2007 and have an initial reset date of January 2008 to July 2010. Also, the borrower must have less than 3% equity in the home.And then they include an example where the borrower will pay ~$28,300 less per $100K  of loan for the 30 year loan with the freeze, assuming they are paying P&I.  Or in other words the bank gets ~$28,300K LESS per $100K of loan for the 30 year loan.  Are a lot of lenders going to buy into this?And of course we can surely assume they are most likely a large percentage of interest only loans.And the instigators of this apparently didn’t read this article (courtesy of gary_broker, not sure if it has been in another thread) http://finance.yahoo.com/real-estate/article/103872/Real-Estate:-Buy,-Sell,-or-Hold;_ylt=AoYhL5ognSwCfrwaIJ3.KbC7YWsAwhich uses the rental ratio concept analysis to predict that anyone w/o any equity in their house now (see less tna 3% to qualify above) is sure to be way underwater in 5 years when it is time to reset! Bingo! Almost guarantees they all get foreclosed because they can’t refi then w/o equity!

 

And then the third LA Times article in today’s paper right next to the other two is the coup de gras.All this might just be too late……. Mortgage delinquency rate risesThe number of Americans who fell behind on their mortgage payments rose to a 20-year high in the third quarter as borrowers were unable to refinance or sell their homes…http://www.latimes.com/business/la-fi-foreclose7dec07,1,6968753.story?coll=la-headlines-business&ctrack=8&cset=true

rs

[rocket science]

Some of these points are similar to Rich’s latest write up.But there is another article right next to this one in the LA Times with a Q&A on the process.Cash-strapped borrowers gain time to improve credit, equityhttp://www.latimes.com/business/la-fi-subprimeqa7dec07,1,380708.story?coll=la-headlines-business&ctrack=5&cset=trueOne excerptWho qualifies for the rate freeze?

First, the residence must be owner-occupied. The borrower must be no more than 30 days late on his or her mortgage payments and have a FICO credit score of 660 or less. The loan must have been originated in January 2005 to July 2007 and have an initial reset date of January 2008 to July 2010. Also, the borrower must have less than 3% equity in the home.And then they include an example where the borrower will pay ~$28,300 less per $100K  of loan for the 30 year loan with the freeze, assuming they are paying P&I.  Or in other words the bank gets ~$28,300K LESS per $100K of loan for the 30 year loan.  Are a lot of lenders going to buy into this?And of course we can surely assume they are most likely a large percentage of interest only loans.And the instigators of this apparently didn’t read this article (courtesy of gary_broker, not sure if it has been in another thread) http://finance.yahoo.com/real-estate/article/103872/Real-Estate:-Buy,-Sell,-or-Hold;_ylt=AoYhL5ognSwCfrwaIJ3.KbC7YWsAwhich uses the rental ratio concept analysis to predict that anyone w/o any equity in their house now (see less tna 3% to qualify above) is sure to be way underwater in 5 years when it is time to reset! Bingo! Almost guarantees they all get foreclosed because they can’t refi then w/o equity!

 

And then the third LA Times article in today’s paper right next to the other two is the coup de gras.All this might just be too late……. Mortgage delinquency rate risesThe number of Americans who fell behind on their mortgage payments rose to a 20-year high in the third quarter as borrowers were unable to refinance or sell their homes…http://www.latimes.com/business/la-fi-foreclose7dec07,1,6968753.story?coll=la-headlines-business&ctrack=8&cset=true

rs

[rocket science]

Some of these points are similar to Rich’s latest write up.But there is another article right next to this one in the LA Times with a Q&A on the process.Cash-strapped borrowers gain time to improve credit, equityhttp://www.latimes.com/business/la-fi-subprimeqa7dec07,1,380708.story?coll=la-headlines-business&ctrack=5&cset=trueOne excerptWho qualifies for the rate freeze?

First, the residence must be owner-occupied. The borrower must be no more than 30 days late on his or her mortgage payments and have a FICO credit score of 660 or less. The loan must have been originated in January 2005 to July 2007 and have an initial reset date of January 2008 to July 2010. Also, the borrower must have less than 3% equity in the home.And then they include an example where the borrower will pay ~$28,300 less per $100K  of loan for the 30 year loan with the freeze, assuming they are paying P&I.  Or in other words the bank gets ~$28,300K LESS per $100K of loan for the 30 year loan.  Are a lot of lenders going to buy into this?And of course we can surely assume they are most likely a large percentage of interest only loans.And the instigators of this apparently didn’t read this article (courtesy of gary_broker, not sure if it has been in another thread) http://finance.yahoo.com/real-estate/article/103872/Real-Estate:-Buy,-Sell,-or-Hold;_ylt=AoYhL5ognSwCfrwaIJ3.KbC7YWsAwhich uses the rental ratio concept analysis to predict that anyone w/o any equity in their house now (see less tna 3% to qualify above) is sure to be way underwater in 5 years when it is time to reset! Bingo! Almost guarantees they all get foreclosed because they can’t refi then w/o equity!

 

And then the third LA Times article in today’s paper right next to the other two is the coup de gras.All this might just be too late……. Mortgage delinquency rate risesThe number of Americans who fell behind on their mortgage payments rose to a 20-year high in the third quarter as borrowers were unable to refinance or sell their homes…http://www.latimes.com/business/la-fi-foreclose7dec07,1,6968753.story?coll=la-headlines-business&ctrack=8&cset=true

rs

[rocket science]

The article I read also indicated it is optional

In addtion it pointed out

A major hurdle to the deal has yet to be overcome: getting agreement from investors in mortgage-backed securities, who have resisted modifying loans except on a case-by-case basis.

"There is a $64,000 question: Will investors go along with this plan? And if not, can they be compelled to?" asked Sen. Charles E. Schumer (D-N.Y.), chairman of Congress' Joint Economic Committee.

rs

[rocket science]

The article I read also indicated it is optional

In addtion it pointed out

A major hurdle to the deal has yet to be overcome: getting agreement from investors in mortgage-backed securities, who have resisted modifying loans except on a case-by-case basis.

"There is a $64,000 question: Will investors go along with this plan? And if not, can they be compelled to?" asked Sen. Charles E. Schumer (D-N.Y.), chairman of Congress' Joint Economic Committee.

rs

[rocket science]

The article I read also indicated it is optional

In addtion it pointed out

A major hurdle to the deal has yet to be overcome: getting agreement from investors in mortgage-backed securities, who have resisted modifying loans except on a case-by-case basis.

"There is a $64,000 question: Will investors go along with this plan? And if not, can they be compelled to?" asked Sen. Charles E. Schumer (D-N.Y.), chairman of Congress' Joint Economic Committee.

rs

[rocket science]

The article I read also indicated it is optional

In addtion it pointed out

A major hurdle to the deal has yet to be overcome: getting agreement from investors in mortgage-backed securities, who have resisted modifying loans except on a case-by-case basis.

"There is a $64,000 question: Will investors go along with this plan? And if not, can they be compelled to?" asked Sen. Charles E. Schumer (D-N.Y.), chairman of Congress' Joint Economic Committee.

rs

[rocket science]

The article I read also indicated it is optional

In addtion it pointed out

A major hurdle to the deal has yet to be overcome: getting agreement from investors in mortgage-backed securities, who have resisted modifying loans except on a case-by-case basis.

"There is a $64,000 question: Will investors go along with this plan? And if not, can they be compelled to?" asked Sen. Charles E. Schumer (D-N.Y.), chairman of Congress' Joint Economic Committee.

rs

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