REwired

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Open commentary on everything impacting the U.S. housing economy. The opinions expressed here represent the author's alone.

Stagnation data point of the day

Via Paul Krugman at the New York Times, a visual that shows real income history for the 35-44 crowd: But you'll be glad to know that those over 65 have seen a huge jump in their income under the current administration, in contrast.
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Another theory on Freddie's debt sale

John Carney at Dealbreaker -- one of my favorite financial writers out there -- had an interesting take on Freddie's successful debt sale Monday. HW reported on the sale's stronger-than-expected response from investors as a net positive for the beleaguered GSE, which it was.
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Chart of the Day

Courtesy of FTN Financial, a chart that speaks volumes about the Q2 earnings season: Figuring out what Q3 will look like shouldn't be too difficult.
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All-Day Loans

Damn if this isn't funny. Think the WaPo doesn't understand mortgages? Try this on for size: Fannie Mae has withdrawn from the market for all-day loans, which are considered risky because they require less documentation than traditional prime loans. [emphasis added]
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I.O.U.S.A

Truthfully, here at HW, we've been tossing around the idea of a documentary about America's debt culture, but it looks like someone has beat us to it:
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Outrage, Indifference Over FDIC's 'Bailout' Plan

We've received more than a few irate emails from HW readers in the past day over the FDIC's announced loan modification plan, which we first reported on yesterday. As more details emerge -- like the fact that the FDIC will be offering 3 percent mortgages to some troubled borrowers -- the outrage among many is palpable.
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Explaining mortgage brokers

Consumers could be scammed because they bought into the idea that real estate investing is a magical kind of business unlike any other kind of business in which you can put nothing down and make no loan payments and strike it rich. This does not excuse the mortgage broker. It explains the mortgage broker. Forgive the slight twisting of language, but you must read Tanta's post at Calculated Risk to understand more; for every perp, there's usually a willing victim.
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What's missing from the discussion on housing?

Well, everyone, we're just about to push the very first issue of HW Magazine out the door. Whew. But we just realized today that one very important thing is missing, and so we're looking for your thoughts on the following question: what's missing in the national discussion of the housing mess?
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Lex gets it very, very wrong on Alt-A

The Financial Times' Lex is usually a source of level-headed analysis and grounded reasoning in matters financial, but like many in the financial press, even Lex tends to get misled in trying to make sense of mortgages. And if Monday's column on Alt-A mortgages is any indication, the old adage that says Wall Street doesn't understand mortgage banking is alive and well.
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The "good customer"

Via the WSJ, admission of loan fraud that I don't think is a one-off sort of case -- not in California, and not for any lender holding option ARMs on its books. But first, a case of whocouldanode (fist pound to
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