mortgage crisis: Mortgage Job Cuts Surpass 38,000
- 08/22/07 08:15 AM
From Yahoo! Financial News: Since the start of the year, more than 38,000 workers have lost their jobs at mortgage lending institutions, according to recent company layoff announcements and data complied by global outplacement firm Challenger, Gray & Christmas Inc. Meanwhile, construction companies have announced nearly 20,000 job cuts this year, while the National Association of Realtors expects membership rolls to decline this year for the first time in a decade. The rest of the article can be read here. I'm sure there's more to come. The lenders who are backed by investment banks are beginning to fall, as well as those backed by … (0 comments)
mortgage crisis: Breaking News: Lehman Brothers Closes BNC Mortgage
- 08/22/07 07:13 AM
Lehman Brothers has just announced that they are closing their subprime mortgage unit, BNC Mortgage. The move will mean the loss of approximately 1200 jobs in 23 locations. They stated that current market conditions have forced them to reduce its resources and capacity in the subprime market. The complete article is here. Lehman Brothers also owns Aurora, a large Alt-A lender. Could they be next?
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mortgage crisis: Alt-A No Longer Offered! (With These Lenders, Anyway)
- 08/03/07 03:43 AM
I just received notifcation that Taylor, Bean & Whitaker, a conforming & Alt-A lender, has completely removed all Alt-A programs and 2nd liens from their product line. In addition, Homecoming Financial has removed all Alt-A products with credit scores below 660. Finally, First Magnus Financial has suspended all locks on Jumbo loans, and has pulled its Niche Advantage and Evolution products (which are Alt-A type programs). It appears that the plug has been pulled. I assume that many other Alt-A lenders will follow suit. I've already heard that IndyMac is struggling (see http://www.ml-implode.com). This is going to get a lot worse before it gets … (2 comments)
mortgage crisis: Accredited Home Lenders Facing Bankruptcy
- 08/02/07 10:14 AM
Looks like Accredited may finally give up the ghost. See below, from Bloomberg.com: Accredited May Face Bankruptcy, Merger in Doubt (Update3) By Bradley Keoun Aug. 2 (Bloomberg) -- Accredited Home Lenders Holding Co., the subprime mortgage company being acquired by Lone Star Funds, cast doubt on the sale and said bankruptcy is possible. The shares lost more than a third of their value. ``Several of our competitors have recently stopped originating loans or sought protection under bankruptcy laws,'' Accredited said in a regulatory filing today. ``We may suffer a similar fate.'' Wall Street firms and banks that finance the San Diego-based company's lending … (4 comments)
From Yahoo! Financial News: ;)
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