Why are Low Income Buyers the Key to Recovery? Seriously. 09.08.10 | Vincent K. Mohr : First Priority Financial, Inc. : Fairfield, CA

slickvicspicks: (September 13, 2010 9:42am)

Under certain circumstances, FHA will allow you to be under the 3 year mark. Just as Fannie and Freddie will allow certain circumstances under 2. I have been on the wholesale side for 8 years. I have a better chance of meeting Jesus than getting BAC, Citi, Wells, etc to buy a GSE funded loan off a warehouse line with 2 years seasoning from a short sale. Nobody wants to take the risk. I just refer them to a subprime FHA lender that will put them on their books at a higher rate and then streamline them off in 8-12 months. For the A paper lenders like me, a loan is simply a hot potatoe and we sure as heck aren't taking on the risk of not being able to sell a loan. And wait until we see the kickback loans from Fannie. They just started auditing 2007 and are expecting at least a 50% increase in loan buybacks. So they go back to BAC, BAC comes back the the wholesaler..,there's gonna be more blood and mor opportunity (for those with deep pockets) in wholesale lender land.

Fl Mortg Lady : (September 13, 2010 9:18am)

Actually 2 years with both FNMA and FHLMC but at a lower LTV that increases after 2 years. I agree, we are in for a rough ride. See article (and previous short sale article) in NY Times on Sat. 9/11. http://www.nytimes.com/2010/09/12/business/12gret.html?_r=1&ref=gretchen_morgenson

slickvicspicks: (September 13, 2010 7:57am)

it's 3 years. These borrowers have a contract with their lender. You lend me the money to buy a home and charge me a risk based interest rate. If I default, you keep the home. Both parties made an assumption of appreciation. Bad business decision for both parties. The borrower can opt to not pay and give the home up as their right to do so in this transaction...but if they default, then the did not hold up their end of the bargain and screw the lender. Then they want the lender to give them ANOTHER loan?? I see both sides if the argument and I am anticipating that we aren't even near to getting ourselves out of this mess. People will continue to strategically default. If I told you I would give you 100k to impair your credit, would you do it?? Same concept. I see your side as well, shoot, I would love the 3 year rule to be lifted and free modifications that would not hit credit, but that is bad biz on the lenders part. This will work itself out and it is NOT going to be pretty...

Fl Mortg Lady : (September 11, 2010 9:11am)

Many DID take advantage of lax mortgage rules, no disagreement here. Seems to be a prejudice, however, against those who short sell. MANY purchased at the height of the market fearing it would go even higher, and MANY put good money down on these properties and will lose all invested. Not trying to help those that abused. However, if we think it is best to let market crash and then let homeowners start buying again, where do you think this bunch of homeowners will come from? In Fl., 52% of the state is upside down in mortgage values with a loss of equity of between 80-250%!!! These sellers realize they may never see equity in their home until their mortgage is paid off. To sum up: we have a LARGE POOL OF QUALIFIED HOMEOWNERS who HAVE LOST DP and EQUITY themselves, AND are forced to be late and screw up their credit in order to short sell. Yes, they learned their lesson, lost all and we are precluding a huge pool of qualified folks who could buy other than fact they must wait 2-3 yrs

LeeHand: (September 11, 2010 7:58am)

I hope the lenders do not let history repeat. Yes, you guys (lenders) are forced by fed to make certain loans with certain criteria, without discrimination. What a shame. Isn't this how we got here in the first place? And it is not a partisan thing; it's an American thing. So many Americans feel entitled. Especially those who are not (in my opinion) entitled to anything. Waaahhhh. Waaahhh. In fact, poor people are poor for a reason. Their track record is that they have shown lack of ability to save, budget, and plan. Why is it that the government thinks these people will suddenly do better if given a jump start that costs them nothing?? I won't say let them eat cake; but I say, Let them rent.

Fl Mortg Lady : (September 10, 2010 12:29pm)

Cory; I agree, 1st time homebuyers or those without an upside down mtg. ARE the folks coming out to buy now. Still puzzled that we know there is a 2-3 or more year window where short sale sellers will not be able to get a mortgage, thereby taking a huge pool of potential buyers out of the market. Don't know about your area, but in mine, not uncommon for a buyer to preview homes where 60-70% of them are in great need of repair. Am being told that the reason there are so few 203K (rehab) lenders available now is because the FHA 203K loan is not profitable to secondary.

KCase: (September 10, 2010 10:59am)

Bring on the axe!!

Nuke 'em Until They Glow and Shoot them In the Dark: (September 09, 2010 9:38am)

Want Market Recovery? Repeal Omama Care and vote conservative in November. Disliking Carter as much as I did as a president (otherwise he's a good guy) by contracting M1 and driving interest rates through the roof was a painful but quick cure and created the foundation for the Reagan Boom. We need to Axe the Liberals and swing the Pendulum to conservative to fix this mess. Note I didn't say republican because there are republicans like McCain and Snowe that are More Liberal than a lot of democrats.

slickvicspicks: (September 09, 2010 8:25am)

I understand EXACTLY what you are saying. Unfortunately we don't make the rules we play by...and 3 years is for FHA! Bottomline is that right now those homeowners are stuck. Hence the strategic default epidemic. The guy that bought a home for 300k and it is now worth 200k is paying that 6% interest on a 100k asset they do not own....and that value is not coming back any time in the near future girl! So I am the borrower forced to make a business decision. Do I violate my contract with the bank and let them take my home or do I continue paying the mortgage?? So instead of paying my $2500 mortgage, I can squat in the property for over a year and save some cash...then rent the carbon copy home from the investor down the street at $1300 a month on a rent to own contract for 3 years and then buy it for 200k. I have seen many people offer solutions, but do not know what the answer is....what I do believe is the the fed's and lenders will be forced to make more changes as a result....

Fl Mortg Lady : (September 09, 2010 8:19am)

SlickVicspicks: Here’s the problem. These people don’t want a modification which puts the deficiency on the back of the loan and extends loan term. Their credit is good and the best option for them to do this is through HARP, which refi’s if you are not late. HAMP offers the modification if you are late. These people want a principal loan reduction as see no way they can recoup lost equity. Difference between loan amt. and value is THAT VAST. They see a short sell as the only way to get this deficiency relieved. This is a VAST problem in Florida, 3rd from the top in US of underwater states. However, based off the CoreLogic statistics that were just released,21 more states have 20 to 56% of the state's homeowners underwater. Am flabbergasted that we are not doing more to keep current homeowners safe from this same debacle when they go to sell. Will be a perpetual problem if not addressed.

slickvicspicks: (September 09, 2010 7:32am)

FL lady...bad situation for your borrowers. If you are a broker trying to DURP or HARP a loan, your resources are limited. Most lenders will cutoff at the 105% LTV/CLTV as they cannot sell them to the big boys any higher...I have seen the 110% and heard rumors of a 115% when you go back to the current servicer like BAC or Wells. You do have the new FHA option if you can find ANY lender that is willing to write off 10% of the outstanding balance, but I have not seen one lender adopt this new FHA insurable loan to fund (let alone the current lender that needs to agree to write off a balance on a borrower that is paying on time). These folks really need to be dealing with their current servicers in modification...but the catch 22 is still that you have a borrower that is paying timely and there is no incentive for the banks to pay attention to a borrower who is current as the cannot keep up with the defaulted borrowers. I feel your pain!!

Fl Mortg Lady : (September 09, 2010 7:24am)

(continued from previous) NO! HERE'S WHAT IS REALLY HAPPENING!!!!!!!!!!!!!!! • We are losing a market of folks that want to owner occupy a home for THREE YEARS after a short sell! • We are experiencing an epidemic of short sell homes on the market that are in seriously bad shape and a lacking of rehab financing that is appealing enough for an new homebuyer to be interested. • Investors are purchasing these properties for pennies on the dollar, reducing our values across the board. We are ultimately giving current homeowners no choice but to consider a short sell. An agreement by banks/lenders to write down of debt for current homeowners would definitely put them on an even playing field. They are already doing for short sells. I know will get crucified by these statements, but current homeowners are stuck. They must stay put long enough to gain equity or pay difference to get out as only solution.

Fl Mortg Lady : (September 09, 2010 7:18am)

(continued) These clients reluctantly end up short selling their homes, as see no other way out and down the road THEY will be highest loan amt. on block.. Clients are being told by banks, lenders and attorneys that must be late on their mortgage to be considered for short sell. THIS DOES NOT NEED TO BE THE CASE. but is given as shrt sell qualification. Once late prior to short sell, precludes them from getting mortgage for min. 3 years after short sell closing. Keep hearing about the option to just let the market fall, level off and then homebuyers will come out of the woodworks. If Florida, as example, has 46% (and most numbers are higher) of homeowners underwater and these 46% of the population must go through short sell and ultimately cannot re-purchase a home for 3 years, where do we think the new homebuyers will come from, the other 54%? (continued)

Fl Mortg Lady : (September 09, 2010 7:13am)

Helping a client with a FNMA Refi Plus, where an appraisal is not needed.Client has excellent credit, income qualifies and has a current FNMA serviced loan. After MANY calls to both FNMA and the client’s servicer, unable to locate "investor assignment" which would show the date that FNMA started servicing the loan, and must be prior to 2/28/2009. The ONLY option for a refi. is to try the FNMA Relief loan that can finance up to 125%, but the interest rate is .5% higher than prevailing market rates. Also trying to refi other underwater homeowners. Vast majority have loan amount that exceeds the 125%LTV FNMA/FHLMC offer, so there is NO HELP for them unless the FNMA DU Refi Plus where no appraisal needed. (continued)

5pence: (September 08, 2010 2:01pm)

A good start would be getting the GSE's to be forced to make a real market for investors worldwide which would in turn force the banks to do quality underwriting. They don't have to now. Thing is, if the banks had to do quality underwriting to world-wide investors it would cut into their bottom line and they would in turn raise rates. Giving the banks free money and excess cash they can make interest on and free range over the mortgage market, like a banking monopoly cartel, has only gotten rates to around 4.5%. The GSE's have over $5 trillion in debt and that's why they won't be nationlized - the federal government would have to take on that debt - say Hi 3rd world no credit economy. Too bad, we could actually make a profit off the GSE's if they were nationalized. As it is they're a bottomless cash pit. Cut off the arm? How about taking away all the crutches!!! I think PaulWeidner has it right, the GSE's expect to be around for a long time and subprime is their ticket to stay.

5pence: (September 08, 2010 1:47pm)

The GSE's only got into trouble because the banks got crap CDO's rated AAA so they could unload it on to the GSE's/taxpayers. The GSE's really didn't have much to do with the meltdown due to their government mandates they couldn't get into subprime to any large degree. As far as letting the markets work the way they will, you'd have to prosecute the banksters for their various frauds. The SEC is just fining Goldman Sachs for CDO double dealing, so prosecution might be out of the question. The government can make too much money fining. For the market to bottom out so it can rise, we'd have to get rid of all stimulus and face facts about the banksters. No one is willing to do that. NAFTA & all free trade agreements are for corporations to outsource. Fundamentally things are wrong. Obama's new stimulus includes $50b for infrastructure. Wait, wasn't infrastructure improvement part of the original stimulus? Where did that money go? Banksters. Where did the middle class wealth go? Banksters.

teresatims: (September 08, 2010 1:17pm)

CUT OFF THE ARM FOR F. SAKE.

APRAYZR: (September 08, 2010 11:51am)

The streamlined loans were intoduced but they forgot the streamlined appraisal forms that should accompany them. The elimination of the extraneous 1004MC form would be significant gesture of a sincere intent for going in that direction.

Calvin the Airedale: (September 08, 2010 11:37am)

We might as well let the chips fall where they may. The Obama economic team couldn't pour piss from a boot if the instructions were written on the heel.

Danny: (September 08, 2010 11:37am)

Thanks man. I remember the episode but they only addressed the purchase aspect of the effect. I have seen no info on effect to the streamline program. At the moment I am working with 3 title companies and they are allowing me to go through their pipeline and create a list of anyone at 5 or higher who purchased less than 3 years and we are scrambling to get case numbers and commitments so we can settle over the next 2 months. The streamline is the only defense to Refi Plus which is a joke but the only no appraisal loan that the investors will purchase. I ran a scenario for someone the other day where their $525000 loan under no guides would actually increase their payment by $1.00...yes a $1 i know it's ridiculous but I am doing his deal now and his break even is 24 months and we are saving $160 a month. After Oct 4th. this ain't happenin. I hope you are right in your thoughts lord knows we need some changes but these don't help consumers.

bern2surf: (September 08, 2010 11:34am)

GIVE 'EM THE AXE, THE AXE, THE AXE, THE AXE, THE AXE. Seriously, isn't a free market economy based on competition. Some private investor would pick up the pieces and take this government sponsored mess and make it a profitable unit.

slickvicspicks: (September 08, 2010 11:25am)

Danny..these turkies discussed streamlines a week or so ago, although not necessarily the impact the new legislation will have on them. More importantly, reducing the UFMIP on a 200k loan from 2.25 to 1% means that HUD goes from colecting 4500 to 2000. Take the .35 per month increase at 700 per annum and you have 3 years and 9 months to break the 4500 initial UFMIP. I heard a rumor the the Oct 4th delay was to re-evaluate the accounting principals regarding UFMIP (rather than for entities to "update their systems"). I mean let's face it...change the 2.25 to 1% for your programming and whalla. Problem is that they account for the UFMIP as it is earned and not when the collect it, which is a 3 year prorated time period. Either way, your .625 to .75 current reduction in rate will likely be more like 1.125 to 1.25% and yes....kill about 70% of a streamline book. Not to mention decreasing consumer purchase power and limiting mitigating risk through borrower refinancing..bad stuff man...

short sale it steven: (September 08, 2010 10:29am)

the super cool phone app ,, sounds good but how quickly can i get my 500 name data base in it?

Cory: (September 08, 2010 10:22am)

In my opinion the road to recovery is first time home buyers. Current home owners are having issues with selling their current home, preventing them from buying a new one. First time home buyers don't have this problem. Make it easier, add common sense programs for first time home buyers and the market will start to move in a positive direction, even if it's just a little.

Evil Genius: (September 08, 2010 10:18am)

Marbles??????????????? What up? No can do anything on my site or Marbles!

W.R.Buchanan: (September 08, 2010 9:33am)

Frank: never did hear back from you on my question I emailed you last week about the recorded value of short sale properties with back end compensation to the banks? I would appreciate a response. Randy

W.R.Buchanan: (September 08, 2010 9:31am)

Frank and Brian: I have to say your segment on Attitude was one of the best things you've done. I personally as an appraiser can get pretty jaded at times. And let's face it why shouldn't we? We are playing in an arena that we have almost no control over, and the people who do have control are the greediest snakes on this planet. I call them the ruling class, and I don't think that is far from the truth. However I do get some glimmer of hope and my attitude improves dramatically when as a group we at the CCAP are able to get some little bone attached to legislation that is favorable to us as a group. The fact we have gotten the reasonable and customary language reinstated is a thorn in the side of the banksters.YEAH! We at the CCAP will be parlaying that feather into something really meaningful in the near future.We can't say what it is right now because our opponents read this forum! I guarantee you'll love it.You can help by joining our organization at www.cacap.org. good show.Randy

jcollins: (September 08, 2010 9:29am)

FRAN&BRIAN: Never did hear from you about fixing the Web a-go-go.

jcollins: (September 08, 2010 9:16am)

Kathy46037: Could you explain your program again?

Danny: (September 08, 2010 9:15am)

Brian/Frank Hey guys long time first time…… OK So October is rolling around the corner and so is the change in MI for FHA. Personal feelings aside, nobody and I mean nobody is discussing the effect on the streamline refinance. If we are increasing the monthly MI by almost 40% and we reduce the rate by .75 in some scenarios the 5% rule isn’t met therefore eliminating thousands of people who would otherwise qualify for a refinance. Has there or is there anyone discussing this and is there any solution to address this at all? I have not seen anything, have either of you? If not could you discuss on an upcoming daily?

NewParadigm: (September 08, 2010 8:44am)

Your question about the butter knife or axe assumes you MUST cut off your arm. I love your information guys but you assume we are working in a rational, fair market. Legislation is a shell game with the net effect of redistributing middle class wealth to elite owners of damn near everything. Yes, those of us who follow the program get our little piece of the pie...but have no control over the macro picture. Fraud & deceit on every level fostered the housing bubble, encouraging people to buy but never own their home, paying interest forever to big banks. You've seen how regulations restrict the little guys' pay when big banking executives take home millions for creating & pimping toxic mortgages. They get bailed out, make money on foreclosures & the greedy buyer who bit off more than he could chew & those who can't pay because jobs went to slave-wage countries should become homeless? Start with the right question, addressing the problem, not the symptoms.

Evil Genius: (September 08, 2010 8:19am)

GaryP: I thought that the banks were running the show too. Overlays perhaps? Maybe they can tweak what Fannie is offering through overlays. But, I have a personal friend highly placed at Merrill (B of A). His statements to me imply strongly that the Govie is absolutely running the show. Fannie and Freddie and the big banks are deeply emBEDDED. B of A wants no new product outside of what F & F are offering. The govie is DICTATING our mortgage world. And that is what's wrong with this picture. Private enterprise (who is liquid) needs to come back. Long term fixed product that offers stability to the entire marketplace. All of these govie programs are politically charged and they are bullshit. You're all seeing it. Which of these many govie mandated programs are working for "we the people?" BITE BACK in 2010. It will start with a turnover of our elected, "on the take" politicians who currently want to DICTATE our world.

slickvicspicks: (September 08, 2010 8:17am)

Underwater mortgage program...did anyone notice the fine print that indicates the borrower must be current?? how many lenders are going to write off a performing asset?? They can't keep up with modifying and foreclosing on folks that aren't paying let alone pay attention to someone who is actually current on their mortgage!! ...and recession over???...I'm not really sold on that. even though foreclosure #'s went down, unemployment crept back up a little and ironic...so are initial mortgage defaults. Strategice defaulting is still gaining momentum...did anyone read the Wall Street Journal about how your mortgage is simply a business contract between you and your bank that charged you a risk based interest rate...indicating that there not be a moral obligation to pay??? Looks like a long 2011 again...

Kathy46037: (September 08, 2010 8:04am)

(Part 2 ran over 1000) items for the home so manufacturing goes up and the next door neighbor just might think about listing his home and buying a new one. I have been told by many in DC I need an army aka Lobbyist. Does anyone have any connections? National Association of Realtors would be GREAT. My e-mail is [email protected]

Kathy46037: (September 08, 2010 8:01am)

Trying to get Washington to implement a program that would revive the economy without bailout. But I need GSE’s blessing (aka, Fannie, Freddie and Ginnie) MY MTG. method is called GEM (gift equity mortgage). I will give you the just of it. Homes that are foreclosed on did not lose their value the borrower’s ability to pay was effected. Example of program: REO $100,000.00 list for $100,000.00. The REO owner has a security position of $80,000.00(lest amount for pay off). Owner occupant with 620 or above credit score offers $100,000.00 (appraisal will stand as purchase price if lower) Appraisal come in at $100,000.00 the borrower get a mortgage for $80,000.00. The $20,000.00 difference between the purchase prices and is a soft 2nd forgivable after 3-5 years. Now what have we just accomplished? Stabilized property values, helping to keep the tax base % lower, owner occupant not investor (70% sold to investor), lessen the loss for the REO owner (from 47% to 20%), turned over the equity to owner occupant help to stabilize neighbor values as well as aesthetics, and when a person buys a new home they purchase new item

charity: (September 08, 2010 7:31am)

BofA told my client on FHA streamline they do not pull credit. All they want is an offer to lend from another lender and they will beat the rate. This is so unbelieveable. Check BofA Rates on their site today, FHA 4.625% 1.375 pts, offered my client a streamline at 4%, paying all closing costs. Wonder if they would honor that offer at close????

stub: (September 08, 2010 7:11am)

In the 80's the lenders thought it was a good idea to have a due on sale clause in every mortgage! If that wasn't there we would have more investors in the market right now and there would be less short sales and foreclosures! That's how we moved the inventory back in the 70's. We the people jump started the economy and we didn't need cash for clunkers or tax rebates and all that really comes out of our pockets! Wake up America, these lenders aren't really loosing money on this stuff; it's us the tax payers and home owners that are loosing.

Daggone: (September 08, 2010 7:11am)

According to the last 8 months, the recession is over. Housing problems are not! Let the chips fall, stop tampering with it. The latest offer of refi'ing under water home owners is ridiculous. I too lost 14% of my equity, I just did not owe 100% to start with. We cannot use taxpayer money to bail out people who borrowed 100% of the funds to buy their homes and now they are down 14%. Big deal, suck it up and pay for it. Eventually as you keep paying you will have equity. Especially when these people have the means to pay! Here's a scenario - homeowner rents their $250K home to buy a $420K home. Bottom falls out; they don't want to sell the 250K home in a down market. They keep renting it, but since they borrowed 100% to buy the new home, they are under water. Puh-leeezzzz. Have you no decency! These folks should not be taking tax payer money. They grasp at every handout even tho they are making six figures and living pretty high on the hog.

associatebroker: (September 08, 2010 6:55am)

Butter knife or ax? Screw the ax folks... get out the chain saws!!

DanSchweihs: (September 08, 2010 6:40am)

A log is floating down a river. There is an ant on the top of the log in the front. The ant thinks it is driving the log. Tim Geithner is the ant. The global economy is so interconnected now that we (through our government) do not control anything. Every action has an unintended consequence. Control is an illusion. And we are standing behind the ant saying: “we need to turn right”; or “we need to turn left.” The log is going to go where it wants to go. Each of us as an individual just needs to try to stay on the top of the log as it spins. Every recession ends when it ends. This will end when it is over.

Old Dog: (September 08, 2010 6:03am)

I am an appraiser with a credit score of 806, $2 mil in real estate, 50% equity. Wanted to refi my house with Wells. Turned down..why? "Too much debt"...Guess I better lower my credit score.

Bono Vox: (September 08, 2010 5:48am)

I missed yesterday. One of my Realtors received an email from the Katy, TX branch of BofA in May. It bragged about 60% of their closings being made up of scores under 620. Their are people doing low FICO loans.

panhandlenan: (September 08, 2010 5:43am)

Wells just loosened their UW requirements yesterday for under 700 scores and not over 700. Anyone but me think that's odd?

GaryP: (September 08, 2010 5:41am)

Bono Vox: My point in my comments earlier was that the politicians can promise anything they want, but they're not driving the bus. Investor and MI company overlays are the determining factors in determining what loans close, not Mr. Obama, Mr. Frank, Mr. Bernanke, or Mr. Sullivan. Until that changes, we're going to stay at status quo. Fannie and Freddie are congressionally mandated to fill a role in affordable and low income housing through legislation such as the CRA. However, the real world caught up to them. The borrowers that were targeted by the CRA, for better or worse, are pretty much stuck with FHA, VA, and USDA loans. The only way that the affordable programs worked was in a healthy, growing market like we had up to 2006-2007.

Bono Vox: (September 08, 2010 5:28am)

In Britain, the government controls healthcare. Politicians will use access to individual drugs as campaign drivers. At what point will US politicians start saying, "We control Fannie, Freddie, FHA and VA! I promise 4% rates, equity forgiveness and 105% financing!"

GaryP: (September 08, 2010 5:19am)

2. (cont.) Every LO out there knows that conventional loans are mainly limited to "well qualified" buyers with 20%+ down payments or refis. That's just the world that we live in nowadays. I realistically never expect to see any significant number of low income or first time buyers in conventional loans in my life time. I loved the old conventional affordable programs. They were my bread and butter for years but I am realistic enough to see that they have gone the way of the horse and buggy, a historical footnote. Besides, even if there is any loans done through the "underwater" program, they will be limited to servicers (like HAMP and HASP) and won't impact me or my company. I don't even want to think about having loans sitting there for weeks, and endless emails and phone calls, waiting for a servicer to agree to a 10% principal reduction. That sounds reminiscent of a short sale nightmare. 3. Frank and Brian, I'll see you in Austin.

GaryP: (September 08, 2010 5:09am)

OK, I have a few comments about today's show. 1. Wasn't the My Community/Home Possible programs intended for the low income groups that they ae talking about now? What happened to them? Yea right! How many of those loans have any of the LO's out there closed lately? Why bother, right? 680+ scores, 5% down, and 3% seller concessions along with a higher rate. Does that sound like most of your low income buyers? 2. The "underwater" program is just another example of how the current administration is totally out of touch with what is happening in the real world of lending. Has anyone at HUD ever heard of a little thing called lender overlays? I've started hearing a lot of noise about loosening guidelines, especially from some of the folks at the Fed, but until they start to put the squeeze on the big banks to do so, it just ain't gonna happen. Besides, that runs contrary to the huge volume of buy back demands that are coming from the agencies because of "loose" UW.

frankgaray: (September 08, 2010 4:47am)

Good point Paul. Hadn't thought of that.

sstrach: (September 08, 2010 4:37am)

I like Brian's statement "it is what it is!" That should be Fannie/Freddie's new slogan!

PaulWeidner: (September 08, 2010 4:28am)

Maybe Fannie/Freddie see the low income borrowers as an opportunity because they expect more government handbones thrown to those borrowers down the road