This Week’s Short Stories

This Week’s Short Stories

Fannie & Freddie Bailouts May Turn a Profit

The $187 billion bailout of Fannie Mae and Freddie Mac could soon actually turn profitable for the taxpayer. This week, Fannie Mae reported a quarterly profit of $10 billion, and Freddie Mac also did well with a $5 billion profit. Accounting changes also help, and another $25 billion could be repaid to the Treasury soon, bringing the total repayments to $66 billion.

Surprising Foreclosure Hot Spots

It seems that some areas and states that were aggressive early with intervention to prevent foreclosures are now experiencing significant increases in foreclosures. States like Maryland, Oregon and New Jersey maintained reasonably stable markets after the housing bubble popped by being aggressive in helping homeowners to avoid foreclosure.

However, now these states are getting boomerang foreclosures with those homeowners unable to continue their payments. Oregon foreclosures have surged 137%, and in Maryland foreclosure filings skyrocketed by 275%.

Mortgages Getting Easier to Find

NuWireInvestor.com reports that mortgage lenders are loosening up and making it easier for people to qualify for and get a mortgage. A major factor is that there are still too few buyers in the market. This lack of demand for homes and mortgages makes it a more competitive market for lenders. Some lenders are actively searching for customers and have more time to handle more difficult applications.

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