Weekend Economists Chart the Bradbury Chronicles, June 8-10,2012

[westerebus]

56. Wait a second.

The FHA is selling homes at $68,000 and that's good for them because it comes off their books.

So, if someone bought a home for say $205,000 at the market peak and are now underwater by say $50,000 making the current home value $155,000, the investor who bought the loan nets out $70,000 after closing costs. Said investor can't sell for six months and may if they so choose modify the loan for the delinquent borrower, but are not required to, makes it all good.

Now, the FHA can't modify a loan because they make the rules on loan modification and they don't see the need to change their own rules?

Who the f**k is running this government agency and who do they report to?

Re-Max? BoA? Mortgage Underwriters Association of America? Who?

Is it any wonder why PIMCO bought MBS's by the boat load?

Gives a new meaning to "home-land" battle field.