Comments on: Subprime Opportunity http://reddogg.com/2007/08/16/subprime-opportunity/ Sun, 29 Aug 2010 03:00:09 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: reddogg http://reddogg.com/2007/08/16/subprime-opportunity/comment-page-1/#comment-25834 reddogg Wed, 22 Aug 2007 13:45:11 +0000 http://reddogg.com/2007/08/16/subprime-opportunity/#comment-25834 The big question is, of the financial stocks that took big hits on market valuation, which are good long term buys? The big question is, of the financial stocks that took big hits on market valuation, which are good long term buys?

]]> By: Leebo http://reddogg.com/2007/08/16/subprime-opportunity/comment-page-1/#comment-25824 Leebo Tue, 21 Aug 2007 18:59:45 +0000 http://reddogg.com/2007/08/16/subprime-opportunity/#comment-25824 I too have found the recent housing woes troubling. Some of the major lenders have been in trouble and have missed their marks for earnings, meaning an increased level of defaults. The important thing to note, and I heard this from Donald Trump, is that if you do get into trouble with your mortgage, based on the variable market rates, is don't pack up the tent and default. You see-- the banks (seriously) don't want your house. (They have enough already to resell due to foreclosure.) That's more expense for them. It's cheaper for them to get you in and negotiate again on the rate and try to bring your loan under control at this time. The banks are hemorhaging right now and need all the borrowers to keep paying in whatever capacity they can. I too have found the recent housing woes troubling. Some of the major lenders have been in trouble and have missed their marks for earnings, meaning an increased level of defaults.

The important thing to note, and I heard this from Donald Trump, is that if you do get into trouble with your mortgage, based on the variable market rates, is don’t pack up the tent and default.

You see– the banks (seriously) don’t want your house. (They have enough already to resell due to foreclosure.) That’s more expense for them. It’s cheaper for them to get you in and negotiate again on the rate and try to bring your loan under control at this time. The banks are hemorhaging right now and need all the borrowers to keep paying in whatever capacity they can.

]]> By: Reddogg http://reddogg.com/2007/08/16/subprime-opportunity/comment-page-1/#comment-25823 Reddogg Tue, 21 Aug 2007 15:10:08 +0000 http://reddogg.com/2007/08/16/subprime-opportunity/#comment-25823 Another interesting link on the subprime market as it related to hedge funds and the like. It seems the global debt market is worth 100trillion but the equity market is only worth 50trillion. http://www.forbes.com/home/opinions/2007/08/20/croesus-chronicles-liquidity-oped-cz_rl_0820croesus.html Another interesting link on the subprime market as it related to hedge funds and the like. It seems the global debt market is worth 100trillion but the equity market is only worth 50trillion.
http://www.forbes.com/home/opinions/2007/08/20/croesus-chronicles-liquidity-oped-cz_rl_0820croesus.html

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