Hints and tips:
...At some point, these companies won’t be able to keep servicing their debts....
...Spain’s residential real estate prices fell up to 40 per cent in the crash, leading to widespread mortgage defaults and more than 500,000 unsold new homes....
...The bundling of lower-quality subprime home loans into mortgage-backed securities drew fierce criticism for its role in the financial crisis....
...pools and the servicing of the loans....
...(Financial Times) China’s June new home prices rose in all but one city, in the latest official survey of 70 cities....
...“This trend will continue as the US government works to reduce its exposure to future mortgage loan losses.”...
...It has already transferred rights on $300bn of home loans in two deals this week, in response to Basel III capital rules that will make it costlier to hold MSRs....
...NEWS Banks reach mortgage settlements of more than $20bn: BofA agreed to pay $11.6bn to Fannie Mae to resolve a protracted legal battle over bad loans....
...Annual results released yesterday passed without direct mention of plans for the home loans unit. At a conference last month, Mr Moynihan said only: “We look at all options for Countrywide.”...
...Cemex has so far met every obligation and condition attached to a $15bn bank loan in 2009, which saved it from bankruptcy. In other words, it has been a good debtor....
...State and federal officials are negotiating a settlement with the five largest mortgage servicers, including Bank of America, over their servicing and foreclosure practices....
...This comes on top of a report last week, also from Bloomberg, that the Federal Home Loan Bank of Chicago had sued Bank of America for not having disclosed its relaxed mortgage underwriting standards to investors...
...The Mortgage Loans Were Underwritten to Countrywide Home Loans’s Standards for Credit Blemished Mortgage Loans....
...BlackRock, Pimco, and the NY Fed, the bondholders who signed the letter are Metropolitan Life Insurance Company, Western Asset Management Company, Neuberger Berman Europe, Freddie Mac, and Kore Advisors LP...
...A PwC report on Priory’s own position in 2007 said it had £575m of senior debt that, with shareholder loans, gave it overall debt of around £1bn. Servicing the debt has cost £74m this year ....
...Countrywide Home Loans Servicing LP, et al is ostensibly brought on behalf of a class of purchasers of certain mortgage pass-through certificates for which CWALT, Inc. and various issuing trusts filed registration...
...Rising defaults and foreclosures on ‘subprime’ home loans, which are loans to people with sketchy credit histories, have forced a number of lenders out of business in recent months....
...Also seen as too big to fail are Fannie Mae and Freddie Mac, the home loan institutions....
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