Headlines...

NEW -> Contingent Buyer Assistance Program
The chart speaks volumes on two points. 1 we are way out of whack when it comes to prices. 2 it has started to go down. It just has a very long way to go.
 
I saw this earlier today and the Patrick news email has it too but the $1mil market is not immune.

http://www.reuters.com/article/domesticNews/idUSN2830223420070329?src=032907_1143_DOUBLEFEATURE_more_top_news
 
Industry tightens standards on 'no proof' loans

"“It's the small percent of extreme risk loans that are grossly overstating incomes, where people can't afford it – truly liars' loans – that really create all these defaults,” he said.

Darren Shimasaki, a teacher from Yorba Linda, bought a $425,000 condo last August with a stated income loan.

Shimasaki, who makes about $55,000 a year, would not have been able to get a standard loan based on his income, he said.

“In order to get into a decent-priced condo, I needed to make, oh my gosh, something like $90,000 a year, and I'm not anywhere near that yet,” he said.

Shimasaki ended up getting 100 percent financing through two loans, including one that requires interest-only payments for the first three years before an adjustable rate kicks in.

After that, he plans to refinance so he can keep up with payments.

“I'm pretty confident that the housing market won't bust,” he said."

It is idiots like this guy who the rest of us are competing against for housing. The cummulative effect of all these idiots and liars is the bidding up of prices above their sustainable fundamental value. In other words, a bubble.
 
Springtime may prove chilly for housing market

 By Michael Liedtke

The Associated Press

SAN FRANCISCO -- Springtime usually means good times in the housing industry, but this year it's threatening to become a grim season of reckoning.

Signs of a sobering slowdown emerged throughout March, ranging from gloomy forecasts among homebuilders to a growing number of high-risk borrowers struggling to make payments on exotic mortgages they probably couldn't afford in the first place.

The latest flare came this week as Lennar Corp., one of the nation's largest homebuilders, reported a 73 percent drop in its first-quarter profit and warned that its results for the remainder of the year won't live up to previous expectations.
 
Subprime mortgage scare spurs even fancier CDOs

By Neil Shah- Analysis

NEW YORK (Reuters) - With the subprime mortgage crisis making investors wary of collateralized debt obligations, or bonds secured by other bonds, Wall Street is cooking up even riskier deals offering bigger returns to lure hedge fund investors.

Managers of collateralized debt obligations, or CDOs, are taking advantage of a recent spike in yields on subprime-related CDOs to churn out these more lucrative deals, called "CDO squareds."

A CDO squared, put simply, is a CDO secured by other CDOs.

[...]

But the rise of CDO squareds, which were last popular a few years ago, could make a bad hangover from the subprime crisis worse if borrowers start defaulting in higher numbers.

http://www.reuters.com/article/reutersEdge/idUSN2738006320070330?&src=033007_1841_INVESTING_comment_n_analysis&pageNumber=2
 
New Century Files for Bankruptcy

Once a highflier in the booming market for making risky mortgage loans, the New Century Financial Corporation filed for bankruptcy court protection today.

In the largest bankruptcy case to date in the subprime arena, New Century listed liabilities of more than $100 million in its Chapter 11 papers filed with the federal bankruptcy court in Wilmington, Del.

Source: http://www.nytimes.com/2007/04/02/business/03lend.web.html?ex=1333166400&en=8e1ee6e601bc215d&ei=5088&partner=rssnyt&emc=rss
 
OK so it may not be a news article YET but I am going to test my estimated NOD count for last month of 945.

Realtytrac and foreclosure.com are way too slow. The first two days of April are starting off with even more. The lenders are the who's who of OC subprime Option One, Resmae, Fremont, Mandalay, Peoples Choice and the champion is New Century. WAMU's are increasing and I am not sure if Merrill is going to be that happy with their purchase of First Franklin.
 
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