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To: Dale Baker who wrote (55179)	8/21/2007 1:53:52 PM
From: Dale Baker	Read Replies (1) \| Respond to of 118717

From: Les H 8/21/2007 1:25:39 PM of 86408 40% of home buyers wouldn't qualify for loan now As mortgage lenders tighten underwriting standards and home prices fall, Bank of America analysts estimated that 40% of home buyers who got a mortgage in 2006 probably wouldn't qualify for a home loan now. That dwindling mortgage availability means that more home purchases will be cancelled as buyers fail to get the loan they need to pay for their new house. Such disruptions could strain home builder's access to liquidity and borrowing, the analysts warned. Creditors are currently being flexible on the loans they've extended to home builders. However, if more home purchases are cancelled and the cash from those expected sales doesn't materialize, banks could become "more rigid" about enforcing covenants on loans, the analysts said. "Our market checks point to a recent spike in cancellations as lenders pull loan commitments and buyers fail to qualify," Bank of America analyst Daniel Oppenheim and his colleagues wrote in a note to clients on Tuesday. "Lower cash flow will strain liquidity, particularly for high leverage builders."

To: Dale Baker who wrote (55179)	8/21/2007 3:47:37 PM
From: Sober	Read Replies (2) \| Respond to of 118717

Gold doesn't look good from an annual perspective. However, if the dollar continues to fall and gold does not, then it would represent a way to protect value. And if the fed lowers interest rates, won't that further hurt the dollar's value, and bring more risk to the general American investment landscape. That being a possibility, I just returned from the local coin dealer where I purchased some more gold. Not a lot, but enough to make it interesting if gold does have another run past the 700 barrier. Now that I have about as much gold as I want, you can count on it going down in value. But that would be a good trade-off, since for gold to fall I think things would have to significantly improve for the dollar and the general US future... something I would truely like to see. Sober