amateur hour teams at the fed and treasury: Amateur Hour teams at the Fed and Treasury
- 12/07/07 09:48 AM
The subprime workout will be a blessing to any family whose home is saved. However, as an economy-wide reality, benefits from the workout will be undetectable. This episode will defy workout efforts for several reasons: 1. The primary cause of foreclosure is zero or negative equity and this is the situation today in the aftermath of a plague of idiotic and predatory, no-down-payment 100 percent lending. There's no hope for these homes. 2. The first step in workouts is to add delinquent payments to balances and recast future payments ("capitalized interest"). See #1: no equity, no room to add. 3. Another … (1 comments)
amateur hour teams at the fed and treasury: Amateur Hour teams at the Fed and Treasury
- 12/07/07 09:47 AM
The subprime workout will be a blessing to any family whose home is saved. However, as an economy-wide reality, benefits from the workout will be undetectable. This episode will defy workout efforts for several reasons: 1. The primary cause of foreclosure is zero or negative equity and this is the situation today in the aftermath of a plague of idiotic and predatory, no-down-payment 100 percent lending. There's no hope for these homes. 2. The first step in workouts is to add delinquent payments to balances and recast future payments ("capitalized interest"). See #1: no equity, no room to add. 3. Another … (0 comments)
The subprime workout will be a blessing to any family whose home is saved. However, as an economy-wide reality, benefits from the workout will be undetectable. This episode will defy workout efforts for several reasons:;)
;)
