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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Jim McMannis who wrote (87976)	9/3/2007 1:48:52 PM
From: Broken_Clock	Read Replies (3) \| Respond to of 306849

OK, so I was able to confirm at least 2 major banks are unloading mortgages in bulk. 1.Minimum $10,000,000 tranches 2.Confidentiality agreement first 3.Buyer can select the area he wants homes in(50 miles of downtown San Diego for example) 4.Buyer can select the price range of properties(500-800k for example) 5.Buyer will negotiate directly w/bank 5.Recent prices 30 to 50 cents on the dollar Not too sure about this but the reason given is that banks must unload do to tightening of the loan loss provisions, etc. Regulators say they need more cash and less loans on the books. There are some interesting opportunities for those with 10m to spend. -g-

To: Jim McMannis who wrote (87976)	9/3/2007 1:49:26 PM
From: Paul Kern	Read Replies (1) \| Respond to of 306849

That's a major problem with short sales. Too many layers of mortgage holders to deal with. All the way from mortgage holders to past HOA dues. OTOH, there are still enough to choose from where there is only the first mortgage holders to deal with. There two, or maybe three, slices and dices; 1) A Mortgage backed security. Which was combined with other Mortgage backed securities into a 2) Collateralized Debt obligation Which was combined with other Collateralized Debt obligations, including maybe credit card debt, car loans, commercial paper, allowances owed to your ten and twelve year olds and god knows what into an 3) Asset Backed Security. The only know entity is originator/servicer who passes the payments up the chain to the creators of the other paper. Each pass through results in a tiny cut for servicing the payments.