http://www.zerohedge.com/article/revised-fhfa-forecast-taxpayers-fund-363-billion-gse-losses-2013
Oh quit your bitchin
What's a half a trillion?
We're the richest country in the world aren't we?
Ben and Timmy said we were anyway
And they would never lie
They swore on their Wall Street code of honor that this is all sustainable.
Timmy will turn this into a profit just like he did with TARP, you watch and see.
The FHFA has just released it revised "draw" projections for the GSEs, i.e., money which US taxpayers will have to spend to keep the nationalized securitization monsters alive. The reality: after already receiving $148 billion from Tim Geithner's US Treasury, the FHFA now estimates that its downside case will result in additional $220 billion over the next 2 years, for a total of $363 billion through 2013. And since this is based on Moody's housing price forecasts, two things are certain: (i) the "upside" case of only $221 billion in cumulative draws can be heckled, and (ii) the final cost will likely be well north of half a trillion. Of course, by this point it will become clear that Fannie and Freddie have no idea whose mortgages they own (as they will discover post their subpoenaing of JPM and others), and the real cost will be potentially well in the trillions, and require a second full scale nationalization of what are already nationalized companies. Actually there is one more point: by 2013 the US will long be insolvent, the Fed will be monetizing everything (say in your best Tepper voice), and the NYSE and the Zimbabwe Stock Exchange will have merged in futile pursuit of synergies to generate $0.01 of revenue away from the 99.999% dark pool dominanted marketplace, and so what happens 3 years down the line is completely irrelevant.
From the FHFA:
Showing posts with label Freddie. Show all posts
Showing posts with label Freddie. Show all posts
Thursday, October 21, 2010
Fannie And Freddie HAVE NO NOTES EITHER?
http://market-ticker.org/akcs-www?post=169840
Oh the fine details are so pesky,and time consuming.
What's the problem?
It's all recorded on an excel spread sheet.
Isn't that good enough for you?
It saved our investor piles of money from not legally recording those details at the time.
To bad they're going to lose so much now legal fees and put backs, but you know it's all your fault not ours.
Your the one demanding to see those pesky little details, not us.
We can work without them, why can't you?
Which fraud are we referring to this time? Are we referring to tendering garbage loans in violation of representations and warranties (on purpose) or the larger issue - not tendering the notes at all, leaving MBS investors holding an empty box, a REMIC structure that cannot take in the paper later, and nobody with actual legal standing to foreclose?
Still no comment on the latter issue, even though, once again, if you listen to the second link here at 8:25 in, you will hear two foreclosure defense lawyers tell you that they have never seen an actual properly-conveyed note.
Again - where is the damn paperwork that under State Law in about half the states, you must possess complete with all intervening endorsements, in order have an actual security interest in the property - that is, the right to foreclose?
Oh the fine details are so pesky,and time consuming.
What's the problem?
It's all recorded on an excel spread sheet.
Isn't that good enough for you?
It saved our investor piles of money from not legally recording those details at the time.
To bad they're going to lose so much now legal fees and put backs, but you know it's all your fault not ours.
Your the one demanding to see those pesky little details, not us.
We can work without them, why can't you?
Which fraud are we referring to this time? Are we referring to tendering garbage loans in violation of representations and warranties (on purpose) or the larger issue - not tendering the notes at all, leaving MBS investors holding an empty box, a REMIC structure that cannot take in the paper later, and nobody with actual legal standing to foreclose?
The mortgage giants are sorting through their growing pile of delinquent loans to find sloppy or fraudulent loan underwriting that constitutes a violation of representations and warranties.Oh, the former.
Still no comment on the latter issue, even though, once again, if you listen to the second link here at 8:25 in, you will hear two foreclosure defense lawyers tell you that they have never seen an actual properly-conveyed note.
Again - where is the damn paperwork that under State Law in about half the states, you must possess complete with all intervening endorsements, in order have an actual security interest in the property - that is, the right to foreclose?
Monday, January 4, 2010
HAFA-foreclosure warning dead ahead
http://market-ticker.denninger.net/archives/1811-HAFA-Foreclosure-Warning-Dead-Ahead!.html
This is how your government works for you......By sticking a knife in your back.
Under the Radar - a bit - came this ditty at the end of November. Coupled with the "unlimited" Fannie and Freddie "credit line", this may presage a veritable collapse in house prices this coming spring and summer - along with a massive "dump" of inventory.
"HAMP", the Treasury's program to "prevent" foreclosures, did not originally appear to have a "stick." Well, here's the stick folks - for those who cannot qualify for a modification, or who "blow it" while on a trial program and simply don't get a permanent change servicers are in fact required to offer short sale or "deed in lieu" alternatives when they make sense.
Got that? Servicers participating in HAMP must follow the guidelines set forth in this Supplemental Directive.
No choices here folks - if you're part of HAMP, you are required to offer expedited and unified procedures for short sales and, optionally, "deed in lieu" programs.
This goes into effect in April, although servicers can start offering these programs earlier.
Come the spring selling season you're going to see the inventory of homes that were "HAMPd" and failed for whatever reason hit the market.
This is not a trivial number of houses - there are close to 750,000 homes currently under trial modifications, and only a tiny number of them - something like 30,000 - have converted to permanent payment changes.
This is how your government works for you......By sticking a knife in your back.
Under the Radar - a bit - came this ditty at the end of November. Coupled with the "unlimited" Fannie and Freddie "credit line", this may presage a veritable collapse in house prices this coming spring and summer - along with a massive "dump" of inventory.
"HAMP", the Treasury's program to "prevent" foreclosures, did not originally appear to have a "stick." Well, here's the stick folks - for those who cannot qualify for a modification, or who "blow it" while on a trial program and simply don't get a permanent change servicers are in fact required to offer short sale or "deed in lieu" alternatives when they make sense.
Got that? Servicers participating in HAMP must follow the guidelines set forth in this Supplemental Directive.
No choices here folks - if you're part of HAMP, you are required to offer expedited and unified procedures for short sales and, optionally, "deed in lieu" programs.
This goes into effect in April, although servicers can start offering these programs earlier.
Come the spring selling season you're going to see the inventory of homes that were "HAMPd" and failed for whatever reason hit the market.
This is not a trivial number of houses - there are close to 750,000 homes currently under trial modifications, and only a tiny number of them - something like 30,000 - have converted to permanent payment changes.
Friday, December 25, 2009
U.S. Move to Cover Fannie, Freddie Losses Stirs Controversy
http://online.wsj.com/article/SB126168307200704747.html?mod=rss_Today's_Most_Popular
How many more miles can they get off of the excuse that it's for the continued strength and stability of one of the subcategories of the financial recovery?
How much money can they print and who's left to buy the debt so that they can do it?
strong><"necessary for preserving the continued strength and stability of the mortgage market," the Treasury said. /strong
The Obama administration's decision to cover an unlimited amount of losses at the mortgage-finance giants Fannie Mae and Freddie Mac over the next three years stirred controversy over the holiday.
The Treasury announced Thursday it was removing the caps that limited the amount of available capital to the companies to $200 billion each.
Unlimited access to bailout funds through 2012 was "necessary for preserving the continued strength and stability of the mortgage market," the Treasury said. Fannie and Freddie purchase or guarantee most U.S. home mortgages and have run up huge losses stemming from the worst wave of defaults since the 1930s.
"The timing of this executive order giving Fannie and Freddie a blank check is no coincidence," said Rep. Spencer Bachus of Alabama, the ranking Republican on the House Financial Services Committee. He said the Christmas Eve announcement was designed "to prevent the general public from taking note."
Treasury officials couldn't be reached for comment Friday.
How many more miles can they get off of the excuse that it's for the continued strength and stability of one of the subcategories of the financial recovery?
How much money can they print and who's left to buy the debt so that they can do it?
strong><"necessary for preserving the continued strength and stability of the mortgage market," the Treasury said. /strong
The Obama administration's decision to cover an unlimited amount of losses at the mortgage-finance giants Fannie Mae and Freddie Mac over the next three years stirred controversy over the holiday.
The Treasury announced Thursday it was removing the caps that limited the amount of available capital to the companies to $200 billion each.
Unlimited access to bailout funds through 2012 was "necessary for preserving the continued strength and stability of the mortgage market," the Treasury said. Fannie and Freddie purchase or guarantee most U.S. home mortgages and have run up huge losses stemming from the worst wave of defaults since the 1930s.
"The timing of this executive order giving Fannie and Freddie a blank check is no coincidence," said Rep. Spencer Bachus of Alabama, the ranking Republican on the House Financial Services Committee. He said the Christmas Eve announcement was designed "to prevent the general public from taking note."
Treasury officials couldn't be reached for comment Friday.
Tuesday, May 12, 2009
Fannie and Freddie Will Need Almost $100 Billion in 2010
http://finance.yahoo.com/techticker/article/245303/Fannie-and-Freddie-Will-Need-Almost-$100-Billion-in-2010
How long will it be before the American taxpayer tells the government to kiss their ASS?
The Office of Management and Budget released a report yesterday on the budgets and proposed overhauls of Fannie Mae and Freddie Mac that included the possibility of liquidating their assets. But don't get your hopes up.
The two government run mortgage finance companies have been scandalously costly for tax-payers, costing Americans far more in bailout money than they ever saved in cheaper mortgages. The OMB says that the two companies will need at least $92.2 billion more in fiscal 2010. This is on top of the $78.2 billion in aid they've received since they were taken over by the government in September.
The entire point of having Fannie and Freddie operate as government sponsored entities was that they could borrow at lower rates than purely private companies. This savings enabled them to make mortgage loans at lower rates, and allowed them to buy up or guarantee mortgages from private lenders at rates that would otherwise have been uneconomical. Over the years, Fannie and Freddie may have saved Americans as much as $100 billion in mortgage payments. Now the OMB says they'll need that much just to get through next year.
How long will it be before the American taxpayer tells the government to kiss their ASS?
The Office of Management and Budget released a report yesterday on the budgets and proposed overhauls of Fannie Mae and Freddie Mac that included the possibility of liquidating their assets. But don't get your hopes up.
The two government run mortgage finance companies have been scandalously costly for tax-payers, costing Americans far more in bailout money than they ever saved in cheaper mortgages. The OMB says that the two companies will need at least $92.2 billion more in fiscal 2010. This is on top of the $78.2 billion in aid they've received since they were taken over by the government in September.
The entire point of having Fannie and Freddie operate as government sponsored entities was that they could borrow at lower rates than purely private companies. This savings enabled them to make mortgage loans at lower rates, and allowed them to buy up or guarantee mortgages from private lenders at rates that would otherwise have been uneconomical. Over the years, Fannie and Freddie may have saved Americans as much as $100 billion in mortgage payments. Now the OMB says they'll need that much just to get through next year.
Subscribe to:
Posts (Atom)