Dear Edward DeMarco, Your position regarding principal reduction for underwater mortgages illustrates just how unfit you are to be running the FHFA. You argue against principal reductions, because it might cost “marginally” more than principal forbearance, yet you completely ignore all of the data suggesting that negative equity leads to strategic defaults and a potential [...]

Selling foreclosures in bulk to institutions is an example of crony capitalism at it’s worst. Keep in mind that our problem isn’t that selling homes locally and individually doesn’t work, it’s that Fannie Mae, Freddie Mac, the FHA, and TBTF banks simply haven’t been doing it. Diana Olick reports: The Obama administration, in conjunction with federal [...]

Guest Post by Charles Hugh Smith. The housing market will remain crippled until we eliminate perverse incentives to financialization and speculation, Fed/Federal intervention and all subsidies/giveaways. If there is one goal that the financial cartels, their politico apparatchiks and the public might actually agree upon, it would be restoring the housing market to health. This is [...]

I’m not in academia and I’m not an economist -which means my ideas might actually work.

Obama, listen up. In the name of stabilizing home prices, your advisers have confused the disease with the cure.

Here is my 5-point plan to fix the housing market

For those that dismiss this upcoming drop in the conforming limit as meaningless, why has the California Association of realtors raised the alarms and come out opposing this change? i think we all know the answer to that one.