http://www.subprimeproblems.com A review of the current subprime mortgage problems Thu, 27 Nov 2008 00:01:39 +0000 http://backend.userland.com/rss092 en More government money pledged to subprime assets helped to boost the subprime mortgage index on Tuesday.  Most indexes jumped 4 to 6 points on the news that the Fed will inject another $200 billion into the subprime mortgage industry, backing some assets that look terrible to any sane investor.  The ... http://www.subprimeproblems.com/2008/11/27/subprime-mortgage-index-rallies/ As we're emerging from one of the worst weeks in Wall St. history, it seems clear the contagion brought forth by the subprime mortgage problems is undeniable.  According to the implod-o-meter, 258 mortgage lenders have gone belly up since 2006.  Housing prices continue to fall throughout the country pinching homeowners ... http://www.subprimeproblems.com/2008/10/13/subprime-fall-out-continues/ Subprime delinquencies continue to increase, according to S&P.  Last month subprime delinquencies rose 7%.  Jumbo loans continued to outpace all mortgage delinquencies, which should keep a tight lid on new jumbo originations as well as the strong premium paid for those mortgages.  Signs are also growing that the subprime payment ... http://www.subprimeproblems.com/2008/08/25/subprime-delinquencies-stay-brisk/ Subprime mortgage problems still have some significant legs as the share price of Fannie Mae and Freddie Mac showed today.  At one point today, shares dropped as much as 50% on the NYSE.  It does seem as if the companies will be protected from failure and completely insolvency by the ... http://www.subprimeproblems.com/2008/07/11/subprime-still-strong-hits-fannie-and-freddie/ 2007 and 2008 may not be the only years with massive subprime mortgage delinquencies.  It seems as if subprime delinquencies may continue to rise into 2009.  At least this is the opinion of the National Association of Realtors.  At present, the delinquency rate on subprime loans is around 20%.  Some ... http://www.subprimeproblems.com/2008/06/13/subprime-problems-may-last-into-2009/ Bloomberg is reporting that Charles Schwab (NASDAQ: SCHW) may pay $260 million or about 6 weeks profit (1/2 quarter) to settle investors' claims surrounding one of their bond portfolios with exposure to subprime securities.  The claim involves the Charles Schwab mutual fund prospectus which labelled its the fund "marginally" riskier ... http://www.subprimeproblems.com/2008/06/10/schwab-nasdaq-schw-may-settle-subprime-claims/ AIG will face a SEC probe over accounting practices related to their subprime mortgage exposure.  It seems as if it will be investigated as to whether or not the firm inflated the value of their contracts linked to subprime mortgages.  As much of the subprime fallout hit, Wall St. pundits ... http://www.subprimeproblems.com/2008/06/06/aig-nyse-aig-faces-sec-probe/ Fitch announced today that it believed that further write offs of subprime backed securities could come, but that 80% of write downs are now over.  It does not see any material ratings changes to be made because of the subprime mess.  It also said that it estimated that banks proper ... http://www.subprimeproblems.com/2008/05/14/subprime-write-offs-8020/ Financial Accounting Standards Board (FASB) chairman Robert Herz reminded everyone that it put out a 'reminder' in December 2005 warning about the risks of subprime mortgage backed assets.  Okay, you really have to wonder if anyone actually took this seriously or read the memo.  Clearly FASB did not see the ... http://www.subprimeproblems.com/2008/05/02/fasb-we-warned-you-about-subprime/ It is time for India's public banks to come clean about their subprime mortgage exposure, or so says a recent article in the  Economic Times from India.  Many had held out hope that the public banks were somewhat wiser in limiting their exposure to the currently distressed subprime assets, but ... http://www.subprimeproblems.com/2008/04/25/editorial-calls-for-indias-public-banks-to-come-clean/