Comments on: Understanding Wall Street (Mortgage) Losses http://blownmortgage.com/2008/01/19/860/ #1 Free Home Loan Modification & Debt Relief Help For US Home Owners - Truths, Facts & News About the Mortgage Industry Sun, 08 Nov 2009 16:51:22 -0700 http://wordpress.org/?v=2.8.3 hourly 1 By: Jeremy http://blownmortgage.com/2008/01/19/860/comment-page-1/#comment-9226 Jeremy Tue, 22 Jan 2008 18:19:44 +0000 http://blownmortgage.com/2008/01/19/860/#comment-9226 MikeW - I agree with your sentiments, and Matthew, I feel that you are completely on point here as to the technicals of what has happened to our economy. I think the reason why there are not more posts is because only about 25-35% of the mortgage work force could comprehend it. Too many order takers out there, and too many slick handed snake oil salesman. Also, of that 25-30% that can comprehend, many are gone. It's a sad day. But to the point of this article, that is all exactly right. The question now is whether or not the cheap money environment into which we are heading will cause this same thing to happen. Who will be the first large investment firm to take a chance on a CDO again? Someone will be willing to pay 3.5% to make 10%, right? Even if they are leveraged, since we are clearly at the bottom of the trough now (I say sarcastically, but hopefully!). I guess time will tell. MikeW – I agree with your sentiments, and Matthew, I feel that you are completely on point here as to the technicals of what has happened to our economy.
I think the reason why there are not more posts is because only about 25-35% of the mortgage work force could comprehend it. Too many order takers out there, and too many slick handed snake oil salesman.
Also, of that 25-30% that can comprehend, many are gone.
It’s a sad day.
But to the point of this article, that is all exactly right. The question now is whether or not the cheap money environment into which we are heading will cause this same thing to happen. Who will be the first large investment firm to take a chance on a CDO again? Someone will be willing to pay 3.5% to make 10%, right? Even if they are leveraged, since we are clearly at the bottom of the trough now (I say sarcastically, but hopefully!).
I guess time will tell.

]]> By: mikew http://blownmortgage.com/2008/01/19/860/comment-page-1/#comment-9218 mikew Tue, 22 Jan 2008 16:28:14 +0000 http://blownmortgage.com/2008/01/19/860/#comment-9218 Matthew, I am saddened to see that there was not a greater response to this article. Its quite obvious that this mess was created by wall street. Sure you can say that a mortgage loan officer did this or that the banks loosened their guidelines too much and that appraisers didn't hold the line and so on and so on. But at the end of the day it all started with GREED on Wall Street. They flooded the market with money generated by bogus financial instruments with what most would say are fraudulent credit ratings which wall street paid for. It created mayheim in our valuable industry and is now causing vast pain on good homeowners and longstanding professionals in the housing industries. Its odd that they sit back and watch our industry attack each other from within. Meanwhile they are now cashing the bonuses worth 38 Billion dollars. We need to unite and save whats left of the mortgage industry. It was the envy of the world until Wall Street greed entered it. Its a noble profession. Those of us who are still in the game obviously are here because we are the best in it. Job well done Matthew. I am not going to stop singing this song until everyone gets just how this happened. Wall Street needs to feel the a fraction of the anxiety and stress that we have endured because of their GREED. Matthew,

I am saddened to see that there was not a greater response to this article. Its quite obvious that this mess was created by wall street. Sure you can say that a mortgage loan officer did this or that the banks loosened their guidelines too much and that appraisers didn’t hold the line and so on and so on.

But at the end of the day it all started with GREED on Wall Street. They flooded the market with money generated by bogus financial instruments with what most would say are fraudulent credit ratings which wall street paid for.

It created mayheim in our valuable industry and is now causing vast pain on good homeowners and longstanding professionals in the housing industries.

Its odd that they sit back and watch our industry attack each other from within. Meanwhile they are now cashing the bonuses worth 38 Billion dollars.

We need to unite and save whats left of the mortgage industry. It was the envy of the world until Wall Street greed entered it. Its a noble profession. Those of us who are still in the game obviously are here because we are the best in it.

Job well done Matthew. I am not going to stop singing this song until everyone gets just how this happened. Wall Street needs to feel the a fraction of the anxiety and stress that we have endured because of their GREED.

]]> By: mikew http://blownmortgage.com/2008/01/19/860/comment-page-1/#comment-9191 mikew Mon, 21 Jan 2008 15:50:22 +0000 http://blownmortgage.com/2008/01/19/860/#comment-9191 I for one am against too much regulations but it is clear to me that Wall Street needs to be regulated. I firmly believe that they are the main culprits in allowing this mortgage mess to happen. In 2006 when the real estate market was clearly slowing down they flooded the mortgage market with cheap money thru gimmick just as you described . Thats why lenders relaxed their guidelines. It created mayheim in our industry then and it will wreak havoc on us for years to come. The us mortgage and housing was the envy of the world until the greedy b----rds on Wall Street got into the game. I for one am against too much regulations but it is clear to me that Wall Street needs to be regulated. I firmly believe that they are the main culprits in allowing this mortgage mess to happen.

In 2006 when the real estate market was clearly slowing down they flooded the mortgage market with cheap money thru gimmick just as you described . Thats why lenders relaxed their guidelines. It created mayheim in our industry then and it will wreak havoc on us for years to come.

The us mortgage and housing was the envy of the world until the greedy b—-rds on Wall Street got into the game.

]]> By: Maria Marsala http://blownmortgage.com/2008/01/19/860/comment-page-1/#comment-9174 Maria Marsala Mon, 21 Jan 2008 06:17:01 +0000 http://blownmortgage.com/2008/01/19/860/#comment-9174 Well, you can chalk up some of this fiasco to Wall Street, however, there are also others involved that should also take responsibility. 1) shabby mortgage brokers 2) escrow companies 3) the home owners who KNEW they shouldn't be purchasing a home. 4) banks (not all are on Wall Street) 5) Wall Street Well, you can chalk up some of this fiasco to Wall Street, however, there are also others involved that should also take responsibility.

1) shabby mortgage brokers
2) escrow companies
3) the home owners who KNEW they shouldn’t be purchasing a home.
4) banks (not all are on Wall Street)
5) Wall Street

]]> By: Don http://blownmortgage.com/2008/01/19/860/comment-page-1/#comment-9169 Don Sun, 20 Jan 2008 20:36:03 +0000 http://blownmortgage.com/2008/01/19/860/#comment-9169 Great post! I'm just throwning this column out there for comments. The guy that wrote this is the main business writer for the SD UT. He's not a rah-rah type and has been calling this very accurately for MONTHS!!! Here is today's column which he tries to give solutions: http://www.signonsandiego.com/uniontrib/20080120/news_mz1b20dean.html Great post!

I’m just throwning this column out there for comments. The guy that wrote this is the main business writer for the SD UT. He’s not a rah-rah type and has been calling this very accurately for MONTHS!!!

Here is today’s column which he tries to give solutions:

http://www.signonsandiego.com/uniontrib/20080120/news_mz1b20dean.html

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