Industrywide foreclosure rate was 0.54 percent in the fourth quarter, the highest in its 37 years of surveys. Amidst the reporting that Countrywide was reporting an increase in foreclosures was the news that Countrywide was also increasing the number of loans that they were servicing. Additionally it was reported that foreclosures are now the highest ever recorded in 4th quarter 2006. For Countrywide having more loans in the pipeline is a clear sign that the long predicted consolidation in the marketplace is continuing. Countrywide as the largest US mortgage lender isn't immune to the effects of the subprime market but it's far more likely to weather the storm. Furthermore customers are more likely to chose vendors who are larger (and thus seen as more trustworthy). It's going to be interesting to see what Wells Fargo reports on April 17th.

Labels: Calabasas, countrywide, countrywidesubprime, forclosures, foreclosures37yearhigh

  ¶ Industrywide foreclosure rate was 0.54 percent in the fourth quarter, the highest in its 37 years of surveys. 0 Comments

The Subprime Directive For all the talk of the minimal effect the sub prime defaults are going to have, it's pretty apparent that the "minimal effects" are going to be larger than anyone has expected. Let's just look at the current closings and layoffs

• Loancity closed on 3/22/07
  
• Countrywide's subprime mortage defaults for 2006 may exceed the company's highest on record.
  
• New Century lays off 54% of their workers (this company is headed for the dustbin)and files for Chapter 11
  
• Aegis Lending plans to shutter its Sacramento office
  
• People's Choice (another sub prime lender) files for chapter 11
  

The shake out in California continues. You can bet that you will hear about it hear first (or nearly first). New Century was one of the ones that we reported on very early on (when I got a few emails about the situation there).

Labels: aegislending, CAMortgageNews, countrywide, countrywidesubprime, NewCenturyFinancialCorp, Subprime, subprimemortgagecalifornia

  ¶ The Subprime Directive 0 Comments