Larry Summers, President Obama's chief economic advisor, says not enough lenders are doing their part to help consumers and business ride out the recession.
“Prudent financial institutions will recognize that the profits they’re enjoying are in part a reflection of the commitment government and the broader society have made to the financial system that has enabled them to enjoy those profits,” Summers said in an interview with Bloomberg News yesterday in Washington.
Jul 21, 2009 7:40 AM
More sobering news from the mortgage front: The OCC and OTS have released a report that chronicles the explosion in loan modifications early this year – up 55 percent from late 2008 – and gives us more evidence that those mods just don't work well. SEE ALSO: Our print edition cover story this week on foreclosures.
Jun 30, 2009 9:19 PM
In this week's Nashville Post print edition, Tom Wood takes a closer look at Davidson County's foreclosure filings, which are spiking this month and seemingly putting to rest the idea that the housing market is gradually returning to something resembling health.
Another factor that a number of real estate and financial professionals cited is the possibility that an especially poorly underwritten batch of loans has met with an inevitable fate. As we all know by now, lenders got to be far too creative for their own good in the roaring middle years of this decade. Suppose, hypothetically, that there was a fad among local mortgage brokers in the late winter of 2004 to sell 5/1 ARMs — adjustable-rate mortgages that begin with a five-year, interest-only term at a set rate, shifting after five years to an adjustable rate (usually higher) with required payment of principal along with the interest. Early this year, those loans would have repriced. Borrowers who could not keep up would typically have faced foreclosure notices after 90 days in default.
Jun 29, 2009 12:10 AM
The traditional process and its relationship with bankruptcy appears to have been broken [From our print edition featured in Monday's City Paper]
Jun 28, 2009 10:53 AM
Another jump in foreclosures suggests more trouble for the region's homeowners [From our print edition in Monday's City Paper]
Jun 28, 2009 10:32 AM
Bank of America has sued over an outstanding construction loan of almost $11 million and wants to foreclose on the three-building project being developed conjunction with MDHA.
The development ran into problems because Direct was undercapitalized, without enough money to pay for expenses even after work was completed, says Walker Mathews, president of R.C. Mathews, general contractor for the project. He says the condos have great features, and construction was finished by April 14, as promised two years earlier. “The unfortunate thing is we got all the way to the finish line, and it turns into a mess,” Mathews says.
Jun 11, 2009 4:27 PM
That's the message market watchers are taking away from a Credit Suisse chart that compiles when various mortgage loans will be repriced. A key cog in the machine are 'Alt-A' and option ARM loans, says Matthew Padilla: "Subprime resets are still going on, but decreasing in frequency over the rest of 2009. However, prime resets and resets on loans to people with decent credit scores but special circumstances (stated income) are heading straight up through early 2012." Zacks' Dirk van Dijk says that, "unlike sub-prime mortgages, these were for the most part targeted at more upscale homeowners. The next wave of foreclosures will be in gated communities, not on the "wrong side of the tracks."
As foreclosures move more upscale, we may well see an increase in median existing home sale price. I'm sure this will be spun as good news of a housing bottom. Don't believe it -- it just means that the cancer is spreading.
May 21, 2009 12:22 PM
From First American CoreLogic comes a breakdown of the Nashville MSA's foreclosure activity that suggests the region's semi-rural areas are getting hid hardest. Also suffering are properties in North Nashville and down the 24 corridor. Click the map for a larger image.
The rate of foreclosures among outstanding mortgage loans is 0.70 percent for the month of March, an increase of 0.20 percentage points compared to March of 2008 when the rate was 0.50 percent. Foreclosure activity in Nashville-Davidson-Murfreesboro-Franklin is lower than the national foreclosure rate which was 2.10 percent for March 2009, representing a 1.40 percentage point difference. Also in Nashville-Davidson-Murfreesboro-Franklin, the mortgage delinquency rate has increased. According to First American CoreLogic preview data for March 2009, 4.20 percent of mortgage loans were 90 days or more delinquent compared to 2.80 percent for the same period last year, representing an increase of 1.40 percentage points. During the past 12 months, from April 2008 to March 2009, there was a total of 14,926 foreclosure filings in Nashville-Davidson-Murfreesboro-Franklin, or approximately 40.89 per day. That compares to the previous 12-month period of April 2007 to March 2008 when there were 11,053 foreclosure filings, or approximately 30.28 per day.Visit realquest.com for more info.
May 15, 2009 8:36 AM
One out of every 374 houses in U.S. Filed for foreclosure this April, according to information released today by RealtyTrac. Last month set the record for foreclosure numbers with 342,038 properties receiving default notices, going to auction or falling into bank repossession. This is an 1 percent increase compared to March, making April the highest foreclosure rate since the agency began tracking the figures in January 2005.
May 13, 2009 2:44 PM
- ALEX B FRUIN INHERITANCE TRUST; CANDACE F STEFANSIC INHERITANCE TRUST; CANDANCE F STEFANSIC INHERITANCE TRUST; FRUIN, ALEX B TRUSTEE; FRUIN ALEX B INHERITANCE TRUST; STEFANSIC, CANDACE F TRUSTEE; STEFANSIC CANDACE F INHERITANCE TRUST; STEFANSIC CANDANCE F INHERITANCE TRUST
- ROSS, BRIDGETT D
- COOKE, ETHEN LANYARD TRUSTEE; COOKE, ETHEN LEWIS ESTATE
- JACOBS, JESSICA ALEXANDRA; JACOBS, ERIKA BESS