Gov't will step in as conservator; Treasury will buy preferred stock
Wall Street Journal Sep 7, 08 11:28 AM CDT
(Newser)
-
Citing Fannie Mae and Freddie Mac as "critical to turning the corner on housing," Treasury Secretary Henry Paulson this morning announced a bailout of the beleaguered mortgage companies that includes his agency purchasing preferred stock, while the Federal Housing Finance Agency will step in as conservator. Additionally, Treasury is to buy mortgage-backed securities in the open market, and provide a lending facility, the Wall Street Journal reports.
More »
As more home loans fail, lenders ask more of beleaguered backers
Wall Street Journal Jul 15, 08 9:51 AM CDT
(Newser)
-
Mortgage insurers facing mounting defaults are tightening their standards, adding another hurdle for potential homebuyers, the Wall Street Journal reports. Beleaguered and risk-averse banks are making more mortgage applicants apply for insurance, just as insurers are declaring more parts of the country “declining markets.” making insurance harder to obtain. The result is “wreaking havoc” on the industry, one bank representative tells the Wall Street Journal.
More »
House outcome uncertain; Bush will veto unless changed
Associated Press Jul 11, 08 8:35 PM CDT
(Newser)
-
By a huge margin, the Senate today passed a $300 billion bill to help homeowners avoid foreclosure—but the White House vows to veto it unless the House makes changes, the AP reports. The bill will let struggling homeowners reinsure at cheaper rates backed by the government, but President President Bush says that nearly $4 billion in the bill, slated to fix up foreclosed homes, benefits lenders, not owners.
More »
Paulson says US emerging from storm
Wall Street Journal May 7, 08 2:45 AM CDT
(Newser)
-
The US is emerging from the credit woes triggered by the turmoil over subprime mortgages—despite the continuing wave of foreclosures across the nation, according to Treasury Secretary Henry Paulson. Paulson, in the most positive comments yet from the White House on the nation's economic troubles, in part credited the federal bailout of Bear Stearns, reports the Wall Street Journal.
More »
He warns of cascading crisis
Los Angeles Times May 6, 08 2:35 AM CDT
(Newser)
-
Federal Reserve Chairman Ben Bernanke yesterday called for government intervention to halt home foreclosures, warning that to do nothing could "destabilize communities, reduce property values of nearby homes, and lower tax revenues." Bernanke said in a speech in New York that a million Americans were already three months behind in mortgage payments at the beginning of this year, threatening dire consequences for the future of the economy, reports the Los Angeles Times .
More »
Only 2K in danger of foreclosure have been able to take advantage, stats show
New York Times Apr 29, 08 4:57 PM CDT
(Newser)
-
A plan to federally subsidize the refinancing of troubled mortgages has in fact helped relatively few of the most at-risk borrowers, the New York Times reports. Though Bush administration officials said FHA Secure has benefited 150,000, federal statistics show that only 1,729 of those mortgages were delinquent. “They came to us before they got into trouble,” one official said.
More »
More FHA-insured mortgages to be available for strapped consumers
Wall Street Journal Apr 9, 08 3:15 AM CDT
(Newser)
-
Homeowners struggling to avoid foreclosure are about to get a boost from the Federal Housing Administration. The FHA commissioner is expected to announce plans to expand an aid program that will allow borrowers saddled with negative equity to write down part of their mortgages and refinance their homes with cheaper FHA-insured loans, reports the Wall Street Journal.
More »
Package includes tax credits, $4B in grants, $100M for homeowner counseling
New York Times Apr 2, 08 5:14 PM CDT
(Newser)
-
The Senate today struck a deal on a package of legislation intended to soften the impact of the foreclosure crisis, the New York Times reports. The bipartisan measures include $4 billion to help local governments buy foreclosed properties and $100 million for homeowner counseling. Harry Reid called the tentative deal, which Chris Dodd and Richard Shelby hashed out overnight, "good news for the American people.”
More »
Updated
Jackson out after clashes with Congress, charges of favoritism
Wall Street Journal Mar 31, 08 9:48 AM CDT
(Newser)
-
HUD Secretary Alphonso Jackson resigned this morning, after a series of accusations of political favoritism. The departure marks a setback to the Bush administration's efforts to stem the housing crisis, the Wall Street Journal reports, as Jackson has been a central player on key initiatives. He cited family reasons in his brief announcement.
More »
Aid plan would back new loans for homeowners in 'upside-down' mortgages
Washington Post Mar 29, 08 6:48 AM CDT
(Newser)
-
Homeowners facing foreclosure could soon be getting a helping hand from the Bush administration, the Washington Post reports. Details are being finalized on a plan that would see portions of loans forgiven for people who now owe the bank more money than their house is worth. The remainder would be refinanced into smaller mortgages backed by public funds.
More »
Says buying mortgages might be necessary to avoid prolonged skid
Wall Street Journal Mar 27, 08 11:15 AM CDT
(Newser)
-
The government should step into the mortgage mess on a broader scale, Hillary Clinton told the Wall Street Journal yesterday, suggesting monetary policy alone can’t ignite a recovery and warning that procrastination could lead to stagnation similar to Japan’s weary economy. Clinton said the Federal Housing Administration should buy troubled mortgages in combination with a program to auction defaulted loans.
More »