| Re: FHA Secure
I am told that FHA secure is being securitized in separate GNMA pools, so HUD can track its performance. Only problem is no investor wants to buy a higher risk GNMA pool. That's why the lenders don't want to write them. They can't sell them.
Well now we have another bogus fix to add to FHA secure. The subprime freeze. If you examnined details, it's obvious that almost nobody will qualify for the freeze (its voluntary anyways). But they did manage to hammer the mortgage backed bond market with that announcement, as investors were afraid the government was about to start retroactively modifying mortgages. That led to a a big jump in rates. So we have the FHA secure that no one wants to buy, a subprime freeze that didn't freeze anything and higher rates.
I hope they don't try to help us anymore..... |