Fannie and Freddie CEOs warn of tough 2008

beangel40 · #1 12-11-2007, 10:29 PM

Fannie, Freddie CEOs warn of tough 2008
One says there will still be up to $7.5 billion in additional losse
WASHINGTON - The chief executives of Fannie Mae and Freddie Mac on Tuesday warned their ailing mortgage-finance companies will suffer further in 2008 due to a weakening housing market and rising home-loan defaults.

read more http://www.msnbc.msn.com/id/22205399/

bartongrl1 · #2 12-12-2007, 01:35 PM

This all does tend to get very confusing. On one hand you have these people saying things will be rough and on the other hand you have other factions saying that things are starting to straighten up and it will all be over relatively soon. What are the actual facts of the situation.

Yager37 · #3 01-02-2008, 09:29 PM

Due to the way the housing market is progressing, I would say to be very cautious on your investments. For me I used to investment heavily into flipping property, but now I been forced to focus more on rental property until the market picks back up.

lily · #4 01-15-2008, 04:12 AM

The conflicting info can be hard to understand. The way things are going I'm leaning more towards the conservative side. Rental property is a good idea and there will always be need for it. There are many who don't have good enough credit to even consider a home and renting is thier only option.

hometowngrl53 · #5 01-15-2008, 07:38 AM

Yes it seems that right now in the market the best option for some is to rent

JaredfromIndiana · #6 01-15-2008, 02:32 PM

I think there are still tons of opportunities to flip, you just need to be very careful on what you are buying and HOW MUCH you are paying! We are still actively looking for flips but we are being so much more cautious. For instance, when we run comps on a house we use only the comps in the last 4months, nothing farther back than that. If we see a nice house in an area where there is nothing moving in the last 4 months, we move on.

I have talked with a few mortgage lenders that I work with and they all said that FHA is alive and kicking! People who want to get qualified FHA need a 2 year job history, and not even with the same company. If they have been employed for the last 2 years they are okay. There were other specifics needed to get FHA approved, but it is still there and people are still buying houses, at least in my neck of the woods.