So, commenting on our item “Housing Crisis Entering Final Stage: RealtyTrac,” Howard Bono opines: What world are you living in and what are you trying to sell with this slanted piece writing? In Western Washington alone there are 350,000 underwater households and 18% of those have stopped paying their mortgages. This housing collapse is not nearly over. Who is going to pick up the slack? Kids out of college with student loans and no jobs? Baby boomers who are trying to get rid of debt? Those in the middle who have seen their incomes drop and their expenses go up. Housing values are going to have to drop again to make them affordable in our “new economy”. I’m not telling you anything you don’t already know but yet you chose to publish this inaccurate sales piece. Pravda lives. Congratulations comrades.
Wed like to tell Mr. Bono it is NOT NMN that is saying the housing crisis is entering the final stage, but rather RealtyTrac. RealtyTrac is a respected vendor so we reported what they said, without necessarily endorsing it. As far as slanting our reporting to please our Commie masters at Pravda, let me point out that we prefer John Lennon to V.I. Lenin by a long stretch!
An anonymous reader gave us a short and sweet response to our content “Former CEO of Loan Servicer Going to Jail for Bank Fraud.” Kind of have to agree with him, too: He steals $8,000,000 and only gets 18 months? No wonder so many people continue to commit bank fraud.
Tommy Duncan gave us his usual thoughtful insight into the piece we did “Separate QC Office May Become Relic of the Past”: This may be true in the black and white or yes and no check list approach but the dynamics of asymmetrics may place your assertion into check that will require something other than a platform. I will agree in the day of check lists and standard calculations that it is feasible to move into automation. I remember when AUS started. Data shows that there is more mortgage fraud discovered in loans submitted in AUS than loans that are manually underwritten because of the dynamics of asymmetrics.
John LaRose of Celink is another thoughtful commenter. Re: “Industry Groups Alarmed by New FHA Loan Limits” he says FHA is trying to get out of the mortgage business. MIP increases and lower loan limits prove it.
As always our last word is: Keep those cards and letters coming, comrades!