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Posted by: Will1313 1 year, 1 month ago
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Will13131 year, 1 month ago
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The federal reserve sets banking rules and regs... Greenspan admitted that the fed dropped interest rates to stimulate the housing industry to stave off a recession in 2001...
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The peak period of the US real estate bubble which began in about 2002 when Alan Greenspan began the most aggressive series of rate cuts in Federal Reserve history was 2005-2006. Greenspan’s intent, as he admitted at the time, was to replace the Dot.com internet stock bubble with a real estate home investment and lending bubble. He argued that was the only way to keep the US economy from deep recession. In retrospect a recession in 2002 would have been far milder and less damaging than what we now face.
Fannie and Freddie have a very small portion of the sub-prime mortgages... and in 2001.. the republican congress removed congressional oversite of Fannie and Freddie.. and gave it to HUD..
LESS THAN 1% of the sub-prime mortgages are in CRA areas..
that is the NON FOX NEWS VERSION..-
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Will13131 year, 1 month ago
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Banks were not selling MOST OF the sub-prime loans to fannie and freddie... they were being bought along with good loans by investment firms.. packaged into billion dollar lots and sold as MBS.. Mortgage Backed Securities.. to mostly retirement funds.. rolling good and bad mortgages into one package and selling them as bonds... with good interest rates and good ratings... till all hell broke lose.. then they cannot seperate where or which individual loans are actually in those bonds..
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Deutsche Bank Foreclosures Were Tossed Out of Ohio Federal Court .. because they don't hold actual mortgages.. only MBS.. judge said.. produce proof you hold a mortgage .. they could not..-
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Endoscopy1 year, 1 month ago
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http://mises.org/story/2963
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Try reading this.
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