Comments on: Digging into Countrywide: When Half Your Loans are in California and Florida. http://www.doctorhousingbubble.com/digging-into-countrywide-when-half-your-loans-are-in-california-and-florida/ How I Learned to Love Southern California and Forget the Housing Bubble Sat, 30 Aug 2008 05:59:10 +0000 http://wordpress.org/?v=2.2.2 By: Scott http://www.doctorhousingbubble.com/digging-into-countrywide-when-half-your-loans-are-in-california-and-florida/#comment-9159 Scott Thu, 06 Mar 2008 11:17:48 +0000 http://www.doctorhousingbubble.com/digging-into-countrywide-when-half-your-loans-are-in-california-and-florida/#comment-9159 Here's an interesting report. UBS is reported to have conducted a firesale to get rid of $24 BILLION in Alt-A mortgages they hold. Surprisingly Pimco is reported to have bought them... at 70 cents on the dollar. Don't know if the 24 billion is the face value or the amount realized from the sale but either way UBS is going to have to own up to another huge write off. This just in CNBC reporting that Thornburg Mortgage has gone belly up. They were mentioned as another big holder of Alt-A mortgages. Here’s an interesting report. UBS is reported to have conducted a firesale to get rid of $24 BILLION in Alt-A mortgages they hold. Surprisingly Pimco is reported to have bought them… at 70 cents on the dollar. Don’t know if the 24 billion is the face value or the amount realized from the sale but either way UBS is going to have to own up to another huge write off.

This just in CNBC reporting that Thornburg Mortgage has gone belly up. They were mentioned as another big holder of Alt-A mortgages.

]]> By: jeff http://www.doctorhousingbubble.com/digging-into-countrywide-when-half-your-loans-are-in-california-and-florida/#comment-9155 jeff Thu, 06 Mar 2008 05:04:22 +0000 http://www.doctorhousingbubble.com/digging-into-countrywide-when-half-your-loans-are-in-california-and-florida/#comment-9155 Doc Great stuff. BAC grabbing Countrywide makes no sense unless the FED is pulling the thread behind the scenes. I don't see how we afford a bailout so I expect a combo of Wall St. taking big hits and a partial bailout. What a mess. Credit markets are a mess. 200 point spread on the 10 year vs the 30 yar mortgage which is the biggest spread in history. I don't see how we are going to dig out of this. Doc

Great stuff. BAC grabbing Countrywide makes no sense unless the FED is pulling the thread behind the scenes. I don’t see how we afford a bailout so I expect a combo of Wall St. taking big hits and a partial bailout.

What a mess. Credit markets are a mess. 200 point spread on the 10 year vs the 30 yar mortgage which is the biggest spread in history. I don’t see how we are going to dig out of this.

]]> By: Exit http://www.doctorhousingbubble.com/digging-into-countrywide-when-half-your-loans-are-in-california-and-florida/#comment-9154 Exit Thu, 06 Mar 2008 02:45:56 +0000 http://www.doctorhousingbubble.com/digging-into-countrywide-when-half-your-loans-are-in-california-and-florida/#comment-9154 @dutchtrader Who was it that said that line about "lies, damn lies, and statistics?" Unemployment figures, like inflation numbers, are cooked. They specifically exclude under-employed and those who no longer qualify for UI. Just like the inflation figures exclude "volatile energy and food". Both sets come from the same state as the Tooth Fairy, Easter Bunny, and Santa Claus. No less than Warren Buffett opined that he believes the US is in recession. He didn't get to be the now official according to Forbes "richest man alive" by not being able to read and forecast. Whether you like or dislike him, what he says carries weight on Wall Street and beyond. IMO, BofA likely paid money to/for CFC at the behest of Paulson and others in government, who believe Mozilo that CFC is 'too big to fail'. I concur with CathyG that there's a bailout in there somewhere. @dutchtrader

Who was it that said that line about “lies, damn lies, and statistics?” Unemployment figures, like inflation numbers, are cooked. They specifically exclude under-employed and those who no longer qualify for UI. Just like the inflation figures exclude “volatile energy and food”. Both sets come from the same state as the Tooth Fairy, Easter Bunny, and Santa Claus.

No less than Warren Buffett opined that he believes the US is in recession. He didn’t get to be the now official according to Forbes “richest man alive” by not being able to read and forecast. Whether you like or dislike him, what he says carries weight on Wall Street and beyond.

IMO, BofA likely paid money to/for CFC at the behest of Paulson and others in government, who believe Mozilo that CFC is ‘too big to fail’. I concur with CathyG that there’s a bailout in there somewhere.

]]> By: dutchtrader http://www.doctorhousingbubble.com/digging-into-countrywide-when-half-your-loans-are-in-california-and-florida/#comment-9147 dutchtrader Wed, 05 Mar 2008 22:04:36 +0000 http://www.doctorhousingbubble.com/digging-into-countrywide-when-half-your-loans-are-in-california-and-florida/#comment-9147 I do think there are some parallels to the great depression. But I will reserve that observation when we officially enter a recession first and unemployment rises above 10 percent. I do think there are some parallels to the great depression. But I will reserve that observation when we officially enter a recession first and unemployment rises above 10 percent.

]]> By: CathyG http://www.doctorhousingbubble.com/digging-into-countrywide-when-half-your-loans-are-in-california-and-florida/#comment-9138 CathyG Wed, 05 Mar 2008 20:21:24 +0000 http://www.doctorhousingbubble.com/digging-into-countrywide-when-half-your-loans-are-in-california-and-florida/#comment-9138 I suspect BoA is willing to place the CFC albatross around its neck because they sense there's a bailout coming. If middle class taxpayers are going to be bled white to bail out the rogues and fools who created this mess, taking on more worthless debt provides a double benefit - first, it can make BoA too big to fail and put it at the front of the line of bailees, second; that bad debt will be redeemed by you, me, our children and grandchildren. I have no inside info, just healthy senses of skepticism and cynicism. Plus I watched as BoA was the first big financial institution to send a specific bailout proposal to our revered leaders. I suspect BoA is willing to place the CFC albatross around its neck because they sense there’s a bailout coming. If middle class taxpayers are going to be bled white to bail out the rogues and fools who created this mess, taking on more worthless debt provides a double benefit - first, it can make BoA too big to fail and put it at the front of the line of bailees, second; that bad debt will be redeemed by you, me, our children and grandchildren.

I have no inside info, just healthy senses of skepticism and cynicism. Plus I watched as BoA was the first big financial institution to send a specific bailout proposal to our revered leaders.

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