new product soon? – The New RMBS Investor Meets Due Diligence 2.0 – by JACOB GAFFNEY – … Sue Allon of risk manger Allonhill is honest when she says she now believes the first RMBS may not be as red hot as we all hope. She’s launching a new product at the ASF, which is under wraps until Thursday, but I can give you a brief, exclusive idea of what this will look like in terms of what the new RMBS investor is going to expect. I’ve coined it Due Diligence 2.0. … – HousingWire
Fannie Mae Serious Mortgage Delinquencies Rise Above 5% – by JON PRIOR – HousingWire
————
you need to read this – housing prices over the past 100 years have done nothing in real terms – Over 100 Years of Unspectacular – … The three most prominent features of this dataset are the giant crater in prices that commenced somewhere in the early 1900s and lasted until the mid 1940s, the epic run-up that started in 1997 and ongoing decline that we are experiencing today, and finally the fact that taken together the whole series indicates that home prices, more or less, have remained flat (in real terms) for more than 100 years. … Not only do prices sometimes go down, sometimes they go down and stay down for over twenty years … – Paper Economy – A US Real Estate Bubble Blog
————
lack of assignments – Examining The Enforceability Of Securitized Mortgages – BY JAMES L. ROGAL – An important and far-reaching decision recently issued by the Massachusetts Land Court significantly changes the state’s foreclosure practice and detrimentally affects many real estate titles derived from foreclosures completed under the usual and customary foreclosure procedures. The issues raised by this case, as well as some recent cases from the Massachusetts Bankruptcy Court, bring into question the ability of holders of securitized mortgages to exercise their right to foreclose. It is vital for any lenders and servicers referring foreclosures in Massachusetts to understand the implications of these decisions. – MortgageOrb
————
Bernanke’s (new) Conundrum – Negative Convexity - … There is a simple reason for the apparent discrepancy. It is called Negative Convexity … – more on fast prepays and the deflationary effect – also, getting "humped" – Bruce Krasting Blog
————
+ 
read this – Deficiency Judgements – Lenders Pursue Mortgage Payoffs Long After Homeowners Default – by Kathleen M. Howley – When John King stopped making payments on his home in Coral Gables, Florida, two years ago, he assumed the foreclosure ended his mortgage contract, he said. Last month, a Miami-Dade County court gave collectors permission to pursue him for $44,000 stemming from the default. Deficiency judgments were rare in the 15 years since the last real estate slump, … “The banks have been too underwater with foreclosures to spend much time on deficiency judgments, but that’s beginning to change,” Hillard said in an interview. “This is going to be the next big crisis.” … – Bloomberg
also
Recourse: One of the Dangers of "Walking Away" – by CalculatedRisk
————
Reverse Mortgage Industry Reaches 2% Market Penetration – The reverse mortgage industry has crossed the 2% overall penetration level according to Reverse Market Insight. The penetration level is the total active reverse mortgages in servicing today as a percentage of all senior homeowner households. – Reverse Mortgaqe Daily
————
Phoenix – Foreclosure data: Prices are close to the bottom – J. Craig Anderson – For the first time since the foreclosure crisis began, the price of a Phoenix-area foreclosed home is roughly the same as it was a year ago. – AZ Central
————
Mortgage Servicing Performance I: Underwater and That Social Trust Thing – by Rortybomb
Mortgage Servicing Performance II: Predatory? – by Rortybomb
also
<< very important chart
read this on shadow inventories – Fake Homeownership – by Rortybomb – … Here’s what fake homeownership looks like on the way down. I didn’t talk enough about this graph: … But it is fascinating to think of what is happening with the people who can’t make their mortgage payments but haven’t been foreclosed on. The bank in this case is exercising an option to defer foreclosure – an option I never thought would be used on such a wide-scale … – Rortybomb Blog
————
Mortgage Bulls Bid Fed Fond Farewell – Say Rates Won’t Soar When U.S. Ends Buying Spree – By MARK GONGLOFF – Conventional wisdom holds that the end of the Federal Reserve’s $1.25 trillion mortgage-buying spree will be catastrophic for housing. But a growing number of investors are betting that the fears are overstated and mortgage rates won’t soar when the Fed leaves the market in just over two months. – WSJ Economy
————
Fannie Mae: Delinquencies Increase Sharply in November – by CalculatedRisk – Earlier I posted the Freddie Mac delinquency graph. And here is the monthly Fannie Mae hockey stick graph … (note that Fannie releases delinquency data with a one month lag to Freddie). – CalculatedRisk Blog
————
Fannie, Freddie Chase Bad Mortgages – BY NICK TIMIRAOS – Lenders Like BofA, J.P. Morgan Repurchase Billions in Faulty Loans; Just a Drop in the Default Pool – It is payback time for Fannie Mae and Freddie Mac on some mortgages sold to the finance companies by lenders. Stuck with about $300 billion in loans to borrowers at least 90 days behind on payments, Fannie and Freddie have unleashed armies of auditors and other employees to sift through mortgage files for proof of underwriting flaws. The two mortgage-finance companies are flexing their muscles to force banks to repurchase loans found to contain improper documentation about a borrower’s income or outright lies. – WSJ Markets
————
Higher cost of owning versus renting will drive US home foreclosures higher – Moody’s explains why it thinks mortgage foreclosures will continue to rise despite loan modification efforts. – Research Recap
————
Property Values Projected To Fall 12 Percent In 2010 – by Michael David White - NewObservations.net projects residential real estate prices will fall 12 percent nationwide in 2010. Our average of four major indexes predicts a total fall in prices of 34% from peak to stable trend. The total fall of 34% is based upon a current loss across four number sets of 19%. – NewObservations.net
————
Lloyds reopens U.S. RMBS market with $1 bln deal – By Alex Chambers – LONDON – Lloyds TSB raised $1 billion via a residential mortgage-backed bond on Friday, reopening a U.S. market that had been shut since mid-2008 because of the credit crunch. The lender sold 2.5 billion pounds worth of bonds in a five-tranche deal, which also included three sterling and one euro tranche. While this is the second residential mortgage-backed securitization from the UK bank in recent months, it is the first dollar currency deal since the credit crunch began. … – Reuters