Converting from foreclosures to short sales is enabling the banks and servicers to draw out the recovery process. In the meantime, the free-rent program will help to stimulate the economy?
Dragging It Out
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Bailout
REO-To-Rental Analysis
Key points to whether the REO-to-rental plan is attractive enough for investors, from HW: Any long-term REO-to-rental strategy will need to adopt extensive refurbishment plans in order to resell the assets. Further, much of the foreclosed property that financial...
Foreclosure Song
Thanks to daytrip for sending this in:
Reduction vs Forebearance
More on this year's bailouts du jour - from MND: Acting Federal Housing Finance Agency Director Edward J. DeMarco spoke to the Boston Security Analysts Society on Wednesday, in part defending his stand against principal reductions for Freddie Mac and Fannie Mae Loans....
Extending Debt-Relief Tax Deadline
Hat tip to Kingside for sending this in - he noted, "It will be interesting to see if these go anywhere": The exemption of debt-relief taxation is due to expire this year. Bills have been introduced to extend the deadline to January 1, 2015. The House version,...
More Talk of Principal Reductions
Principal reductions are the government's next bailout device, and they are getting pushed hard. Excerpts from an article at thestreet.com: NEW YORK - Fannie Mae and Freddie Mac continue to face pressure to reduce principal for homeowners underwater on motgages, but...
Principal Reductions Help Banks
From Rueters: Mortgage giants Fannie Mae and Freddie Mac are being pushed to reduce borrowers' mortgage balances in order to shield U.S. banks from taking losses on distressed housing debt, the companies' regulator said in a Financial Times interview published on...
Moneymaker or Publicity Stunt?
Hat tip to ProfHoff and Susie who sent in stories about the BofA "Mortgage-to-Lease" program: Excerpts from wsj.com: Executives last year began to ask themselves "isn't there a way to sort of combine that whole process and keep the borrower in the property? It's just...
Banks Extracting “Excess Profits”
Hat tip to evansea for sending this along from HW: The nation's largest banks are charging borrowers who refinance under the Home Affordable Refinance Program significantly higher rates than other types of refinance loans, according to Amherst Securities Group. HARP...
Rich Get Richer
Hat tip to SM and jpinpb for sending this along....from Reuters: Dan Magder recently gave up a top job with private equity firm Lone Star Funds to strike out on his own and become a landlord. He's joining a growing list of big and small investors who see fat profits...
