If life gives you rotten lemons … sue the banks September 4, 2011 ROLL up for the latest round of the sub-prime blame game! In an almost farcical turn of events, the world’s biggest buyers of dodgy mortgages and mortgage securities – government-sponsored Fannie Mae and Freddie Mac – are now suing banks for selling them the “old lemons”, as Goldman allegedly called the stuff in private. In [...]
Aldermore to offer 100pc mortgages September 4, 2011 PRIVATE equity-backed Aldermore is set to be the first national lender to offer 100 per cent mortgages since the onset of the financial crisis. The mortgages, which were discarded for being too risky, will rely on certain stipulations, such as being partially guaranteed by a parent. Aldermore, which is owned by AnaCap, will offer the [...]
Bank lawsuit looms large over the equity markets September 4, 2011 THIS morning’s direction for the markets will be dominated by the news which came out late on Friday evening that a US regulator is suing 17 financial institutions for mis-selling billions of dollars’ worth of mortgage bonds, which ultimately proved toxic when the US housing market collapsed. The targets included not only major US banks [...]
Northern Rock owner to credit check clients August 31, 2011 THE administrator of failed lenders Northern Rock and Bradford & Bingley is monitoring its 750,000 mortgage-holding customers for signs of financial stress and will offer advice to any it feels may be struggling, it emerged yesterday. UK Asset Resolution checked customers’ creditworthiness to identify those that may need to cut spending to continue paying their [...]
London’s rent continues to edge upward August 31, 2011 STRONG demand and weak supply continues to hike up London rents, with many young people struggling to get a step onto the property ladder. “Rental growth in London and the south has outperformed the rest of the country, though all regions have seen a pickup in rents,” the Royal Institution of Chartered Surveyors (RICS) said [...]
British mortgage sales decline across the board August 31, 2011 MORTGAGE sales in the year to April sank to their lowest rate since the Financial Services Authority (FSA) began gathering the figures in 2005, it emerged yesterday. “Overall, mortgage sales declined by seven per cent from 2009-10 to 2010-11,” the FSA said. The decline was across the board, with sales of mortgages to first-time buyers, [...]
House price slump is already upon us August 30, 2011 HOUSE prices remain overvalued in Britain, locking out many aspiring buyers. Of that there is no doubt. But it is also the case that average prices have fallen far more than is usually understood; the single biggest reason why so many younger people cannot enter the market is because they have to put down much [...]
WHAT THE OTHER PAPERS SAY THIS MORNING August 30, 2011 FINANCIAL TIMES DISPUTE ERUPTS OVER CONTROL OF LIBYA’S $65BN SOVEREIGN FUNG A dispute has erupted over control of Libya’s $65bn (£40bn) sovereign wealth fund, as the national transitional council attempts to maintain stability in the nation. Several NTC members have contested the authority of Mahmoud Badi, who is probing corruption at the Libyan Investment Authority. HONG [...]
Cheaper long-term mortgages are back August 30, 2011 MORTGAGE rates are plummeting. Interest rates on gilts and swaps – those things that indicate the price of fixed-rate mortgages – have been heading downwards for some time and look to set to stay there. Now lenders seem to have caught on and have started dishing out the goods. Last week, Chelsea Building Society launched [...]
US house prices weaken in June August 30, 2011 US house prices fell slightly in June, an index of pricing shows, in the latest sign that the housing market remains weak. A Standard & Poor’s index of 20 cities across the US showed house prices fell 4.5 per cent in June compared with a year ago. The fall was slightly better than the 4.6 [...]