From Main Street to MoTown, it seems the risk of foreclosure looms large everywhere. According to recent articles in both the Detroit Free Press and the Associated Press, Aretha Franklin and Michael Jackson are in danger of losing their respective homes. Franklin has defaulted on her $700,000 Detroit mansion, for which she owes $19,192 in back taxes through 2007, while Jackson's Neverland Ranch was scheduled to be auctioned off this week--the auction has since been postponed to May 14 based on a "mutual agreement" with creditors--due to an outstanding mortgage balance of $24.5 million, according to The Wall Street Journal. For that story and more, check out Big Builder's bi-weekly blog roundup.
According to Seeking Alpha, two questions arise when determining whether or not the risk of Fannie Mae and Freddie Mac can be outweighed by the potential profits for investors: Do they have enough capital to survive the current wave of defaults, and will the opportunity to increase fees equate to sustained profitiability in the future?
The Housing Bubble culls some helpful--if painful to hear--advice from tales of foreclosure woes in the Delaware and Washington, D.C., area: Don't borrow more than you can afford, and don't rely on industry "experts" to tell you what that amount is; do the math yourself.
As HUD continues to solicit feedback through May 13 on its proposal to simplify disclosures in an attempt to help consumers shop around for the best deal and save an average of $668 in closing costs, Inman News asks readers to copy it on their comments or post them on the blog for all to see.
According to BusinessWeek's Hot Property, the new "Hope Now" hotline launched by the White House in October to assist homeowners facing foreclosure has left many callers more frustrated than anything else.
Dr. Housing Bubble examines a stock market exhibiting volatility of bipolar pogo stick proportions as Wall Street fails to understand the plight of today's consumer.
In light of the recent JPMorgan/Bear Stearns deal, Reggie Middleton's Boom Bust points to Lehman's asset make-up as a potential target for U.S. Trading, while Goldman may see a fair amount of devaluation.