Mark Hanson: 20 Million More Homeowners At Risk Of Default

Mark Hanson Advisors:

How many homeowners are over-levered and at imminent risk of default? This answer is...a lot more than most think, especially those who got a loan from 2003-2007 due to a radical, yet subtle shift in loan guidelines across the mortgage spectrum that kicked-off the bubble-years.

Yes, even Prime full-doc borrowers in 30-year fixed mortgages with 20% equity who got their purchase or refi from 03-07 are at much greater risk than most think.

Read the whole story: Mark Hanson Advisors

Comments

[invest in jobs]

03:38 PM on 12/08/2009

This is further proof that the US government is ineffectual at everything except enabling the plundering of everything we, the American people, work for by the corporate robber barons
good articles; http://financeopinionss.blgospot.com

Government & multi-national corporations like peas in a pod

[autumncolors]

10:02 PM on 12/07/2009

booki I'm a Fan of booki I'm a fan of this user 6 fans permalink

so if this is predicted.­.....i wonder why "they" do nothing to stop it?.
help out ..........­..called direct lending.

if the govt offered direct lending, an 800 number....­....
to actually help the people....­.not the banks.
the result would be: new jobs. interest given right back to the government­.........
saving people from the shame of foreclosur­e.....
bankruptcy, food stamps....­.......and shame.

shame on us.}]

Here you go. I re-posted it. Did not mean to leave out your name.
1-800-lending is an excellent idea.

[booki]

10:20 PM on 12/07/2009

i could care less about my name. i do care about what i write.
peace

[MadAppraiser]

06:48 PM on 12/07/2009

NO EMPLOYMENT, NO INCOME!!! That is a fairly simple economic concept for unemployed American's to grasp. America's employment architecture indicates a failure of America's elite to comprehend and accept this economic concept. American elites are bankrupting America through devious money management mechanisms that degrade the nation's quality of life through domestic employment practices. Discussions of American employment as a lagging economic indicator do not comfort collection agencies when they seek payment of outstanding debt!

A borrower's debt-to-income (DTI) ratio research on dated mortgages is a comical, late academic exercise in a domestic employment market constructed upon quicksand. Contemporary American employment is a luxury for mainstream America! After decades of America's top economist spin on national economic solvency, America peers at an advancing ECONOMIC DUMPSTER!

[autumncolors]

05:43 PM on 12/07/2009

if the govt offered direct lending, an 800 number....­....
to actually help the people....­.not the banks.
the result would be: new jobs. interest given right back to the government­.........
saving people from the shame of foreclosur­e.....
bankruptcy, food stamps....­.......and shame.

shame on us.}]

1-800-lending, this is the best idea ever!
The rest of TARP should go to taxpayers.

[booki]

09:54 PM on 12/07/2009

i wrote that...... yesterday......

[autumncolors]

10:00 PM on 12/07/2009

May be it was your post I pasted here in the brackets.
It is an excellent idea.

[Troubledwawa]

05:43 PM on 12/07/2009

Wow. I'm surprised to see Mark Hansen here on Huffpo.

I've been following Mark for more than 2 1/2 years now. He was Mr. Mortgage on YouTube, where I first ran into him back in early 2007 (courtesy of another Huffpo poster). The first video I saw, he linked to an old excel file from the NY Fed, that used to be on the front page of their website back then, and went through what was going to happen, based on where the current mortgages were at the time.

This guy nailed it back then. And he still is nailing it. If you're involved in real estate, you really should take some time and hear him out.

[Nomoney]

04:06 PM on 12/07/2009

I am absolutely appalled at the fact that our government chooses to bail out the banks instead of the hard working tax paying citizens that support the system. Time for an up rising indeed!! Anybody over their head or upside down in their mortgage should be taking a good hard look at purchasing that house down the street that is now listing for a fraction of what you owe on your home mortgages. And don't feel guilty about walking away from your current mortgage and shafting the bank!! In fact trash it, you'll feel even better.

[Winston120]

03:37 PM on 12/07/2009

Banks would rather see the home go into foreclosure than refi even if it would onlt take reduction of 1% interest.

If you can make payments on 6.5% the banks won't refi you to 4.5%. The problem is people who can make 6.5% today may not be able to quite make that payment 6 or 12 months from now.

Obama totally squandered time and our money to help with this. Of course he knew where to go when he needed an ultra-low rate for his luxury digs in Chicago and oh lets new forget his deal with Rezko.
Later he said it was a bonehead deal BUT HE TOOK THE DEAL.

[yourmonscalling]

03:24 PM on 12/07/2009

I HAVE TOLD PEOPLE THIS 10 MONTHS AGO AND THEY JUST LOOK AT ME LIKE I AM A DOOM A GLOOMER (AND THATS NOT THE CASE) I JUST TELL THE TRUTH UNLIKE SOME PEOPLE JUST TRYING TO BE THE HERO FOR A DAY !!!!

[invest in jobs]

02:39 PM on 12/07/2009

The only beneficiaries of this 'recovery' are the bankers, fund managers, and rest of the top 1%
hat tip to http://financeopinionss.blogspot.com

A .2% drop in unemployment is NOT a recovery. We need jobs for every able bodied American

[Cookie100]

02:25 PM on 12/07/2009

I have a friend with a fixed at 5.35% for 30 years at Wells Fargo. Can't make the payments now, anyone know what to do?
I'm with B of A at 4.82% for 30 years, but now she has no income to get a better rate and bring her pyt's down?
Any advice?

[booki]

08:07 PM on 12/07/2009

i am so sorry: u r the very victims

Direct Lending should reach out to. you, your goernment,
NO NO NO..........they only want to help the banks, and allow everyone esle to fail and fall.

i don't get it myself!

[Nepenthys]

11:00 PM on 12/07/2009

I wish I had some advice for your friend but I need advice as well. I lost a well-paying job last year and was fortunate to find another one shortly thereafter but at a much lower rate of pay. I’m not behind in my mortgage and won’t qualify for a refinance, but a rate modification would help so much. I contacted Wells Fargo (30-year fixed mortgage, never late with a payment) and they were very eager to help me with a rate modification that would reduce my interest rate by 1%...but I’d have to pay 3.75 points and still come up with about $3500 out of pocket to cover closing costs. 3.75 points! Didn’t we just bail these bloodsuckers out? No wonder none of the foreclosure avoidance plans are working. Does anyone know who I can file a complaint with?

[voltage356]

01:31 PM on 12/07/2009

Banks have no problems giving out bonuses this year.

[voltage356]

01:29 PM on 12/07/2009

We got hoodwinked!

[booki]

01:09 PM on 12/07/2009

so if this is predicted......i wonder why "they" do nothing to stop it?.
help out ............called direct lending.

if the govt offered direct lending, an 800 number........
to actually help the people.....not the banks.
the result would be: new jobs. interest given right back to the government.........
saving people from the shame of foreclosure.....
bankruptcy, food stamps...........and shame.

shame on us.

[spinns17]

11:55 AM on 12/07/2009

why isnt the government going after the banks ,lawyers and real estate companies that created this mess?.

[voltage356]

01:27 PM on 12/07/2009

Because it better just to blame the pepole who took out the loans, that's why the gov't is giving banks a pass. The bank cannot fail is what they tells us. Yeah right!

[SimJack]

11:48 AM on 12/07/2009

Throw commercial properties (office, hotel, retail, warehouse, etc.) in the the potential default risk equation and the real estate situation looks incredibly bad for the country.