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Strategies & Market Trends : The Residential Real Estate Crash Index

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To: Moominoid who wrote (149193)9/23/2008 1:12:30 AM
From: GraceZRead Replies (1) of 306849
 
If buyers know that they could sell to the Treasury vehicle at some price maybe the government won't even need to deploy all the capital.


If you are wondering what the various assets are currently being marked at, this is from Morgan Stanley's conference call:

senior commercial are marked in the high 80s to low 90s;
mezzanine marked in the low 70s,
Alt A marked in the low 30s
US residential in the 80s
subprime CDO mezzanine in low teens


Individuals would buy those assets at those prices if they knew there was a buyer of last resort, a market maker, if they needed to convert those assets back to cash in a hurry.
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