Borrowing for a home has been tough ever since the subprime securitized loan market collapsed a couple years ago.  Without government help through the FHA, many such loans would not be made right now.
But although the government is backing FHA, Fannie Mae and Freddie Mac and shoring up the mortgage market by backing many of [...]

One thing you can say about the latest financial meltdown, it has brought a new lingo to everyday usage.  The “too big to fail” concept has been around a long time in banking regulation but not many had heard the term until the last couple years.  The perversity of this is how much it is [...]

The Wall Street Journal reported yesterday that “HSBC Sees Subprime Salvation.”
If this is “salvation” then we truly have driven expectations into the ground.  HSBC, the large subprime mortgage lender also known as Household and HFC, has filed quarterly reports indicating things are improving for mortgage lenders.  Here’s what constituted “good news” these days.
HSBC continues to [...]

The mortgage industry and government continue to push loan modifications as a way of saving homes.  The Treasury Department released a report showing how that program is working out.
The short answer is that it is muddling through.  The Office of Comptroller of the Currency reported that 8.5% of all mortgages are now delinquent and almost [...]

Bank of America has made a splash recently by updating its short sale agreements. The bank is now, intentionally or not, making it simpler for folks to decide to allow a foreclosure or file bankruptcy instead.
Bank of America has reportedly changed its short sale agreements to provide that the homeowner will remain liable for any [...]

A couple common scenarios could combine these days to harm consumers if they are not prepared for them.  Borrowers trying to get reasonable mortgage modification arrangements should be wary of their lenders being taken over by the FDIC also.
Many mortgages are held as part of a bank’s portfolio.  Sometimes you are dealing with the bank [...]

Banks are now moving forward with more foreclosures than at any time in recent memory.  But don’t try to tell them they should maintan those properties, that just gets them annoyed.
When a homeowner faces foreclosure, they often will start looking for a new place to live as quickly as possible.  And when they find a [...]

Without substantial changes to the mortgage market and modifications to indiviual mortgages, the current crisis is likely to hit another round of defaults and foreclosures in the next couple years.
You might have heard Federal Reserve Chairman Ben Bernanke predicted the recession may be ending this year.  John Hussman of Hussman Funds thinks that the worst [...]

A Missouri appellate court concluded that a mortgage lender would not have standing to appear in court unless it could prove it was the true owner of the loan.  Once again, old fashioned legal rules are getting in the way of convenience for the lending industry.
A mortgage typically consists of two separate documents:  A Note [...]

The mortgage industry is rallying to oppose allowing mortgages to be modified by bankruptcy judges.  They like to claim they try to work with homeowners to renegotiate affordable payments to prevent foreclosures.
Let’s ask Congresswoman Maxine Waters (D-CA) how that worked out for her.  With ABC News and Nightline watching, Waters tried over a two-hour period [...]