From the category archives:

Housing

Australians Believe in Real Estate Fairy

July 14, 2010

There has been a lot of press dedicated to the Chinese and Australian real estate markets. Are they overvalued or is demand greater than supply.  Here is an article arguing that Australia does not face a housing bubble or crash as demand greatly exceeds supply (h/t The Real Estate Bloggers).
The source of her frustration — [...]

Read the full article →

Another Silly Government Idea

July 8, 2010

The State of Maryland is offering mortgage incentives for folks whose jobs are relocating to Maryland due to the Base Realignment and Closures (BRAC). The theory is to get people who might rent or commute from Northern Virginia to buy in Maryland. Like most government programs, it sounds good in theory, but it makes no [...]

Read the full article →

Despicable Default Behavior

June 2, 2010

I have stated several times here and elsewhere on the web that a homeowner should have no remorse from defaulting on a mortgage if it makes economic sense. The mortgage is a contract, not an oath or vow. Contracts cover all actions including non-payment. So, if you are way underwater on a house and renting [...]

Read the full article →

Backdoor Bailout for Banks

May 12, 2010

Here is a video segment by Yahoo Tech Ticker featuring Barry Ritholtz, whom I am a big fan, where a theory is discussed about a backdoor bailout of the banks. It deals with Fannie Mae and Freddie Mac. Both of these organizations are losing billions every quarter, and we, the taxpayers, are acting as an [...]

Read the full article →

PBS Special on Strategic Defaults

April 24, 2010

Nice segment from PBS about strategic defaults on mortgages (tip of the hat to Barry Ritholtz).

If you have been reading my blog, you know that I am all for a strategic default when it makes sense. Too many Americans have this view that it is immoral to walk away from a mortgage. These folks gulped [...]

Read the full article →

Mortgage Principal Writedowns

April 14, 2010

Interesting article at Yahoo about folks behind on their mortgage getting their principal reduced. As I have written previously, this is a bad idea. It will motivate others to default to get their mortgage reduced. The Yahoo article profiles a couple folks probably hoping for sympathy, but when I read their tales, I couldn’t muster [...]

Read the full article →

Smorgasboard of Articles Regarding New Housing Bailout Plan

March 27, 2010

I am posting links to articles in the blogosphere about the recent bailout plan. Essentially, most agree this is a hidden plan to funnel money to the banks while making it look like a homeowner friendly plan. Also, I talk to a friend who is a banker. They are getting tons of calls asking what [...]

Read the full article →

New Housing Plan Will Promote Delinquencies

March 26, 2010

Apparently, the government is at it again with housing. Considering the $75 Billion dollar HAMP plan that the government set up for housing has been an abysmal bust, the gubment now wants to forgive loan balances for underwater homeowners. They are going to use $14 Billion of the repaid TARP funds to pay for this.
The [...]

Read the full article →

Supply of Foreclosed Homes on Rise Again

March 19, 2010

Interesting article from the Wall Street Journal about the rise in foreclosures. The author claims the foreclosures will rise through April, but then they will start to decline. I believe the author is a bit optimistic. He is neglecting the upcoming Option ARM and Alt A ARM resets (recasts).

You can see we have between $500 [...]

Read the full article →

FDIC Looking to Reduce Principal for Underwater Homeowners

February 26, 2010

In yet another example that the government has gone mad, Sheila Bair, Chairwoman of the FDIC, is looking at a trial program to reduce the principal for homeowners who owe more than their home is worth.
Under the FDIC program, borrowers would be eligible for a reduction in their mortgage balances if they kept up their [...]

Read the full article →

← Previous Entries