There are many really sorry tales coming to light about the subprime mortgage business. Lots of folks richly rewarded for originating billions of dollars in subprime mortgages using some “questionable” practices. There are several references to major financial institutions in this article. Seems that every financial institution had a finger in the pie, but somehow, all the government regulation and oversight doesn’t hold anyone accountable or responsible. Amazing…

Subprime Fiasco Exposes Manipulation by Mortgage Brokerages

mortgage brokers and independent sales outfits are overseen by a menagerie of state authorities, some of which also look after barbers and masseuses.

In California, which accounts for about 40 percent of subprime borrowing in the U.S., no one even knows how many people are originating loans, according to an October 2006 report by the California Association of Mortgage Brokers. That’s because while the state licenses individual mortgage brokers, anyone can work for a big lender under the umbrella of a single corporate license. The group estimated that a minimum of 600,000 people were peddling loans in the state last year.

http://www.bloomberg.com/apps/news?pid=20601109&sid=a8VFwgtdQ9FM&refer=home

What is so remarkable is the number of people involved. What happens to all of them when this falls apart? Yes, they can ditch the car, get unemployment and move in with the girlfriend to live rent free for a while. But then what?

We were talking with friends on Monday about hurricanes and forecasts for the coming season. Our friend has been especially impressed by accuracy of the forecasts put out by William Gray at Colorado State. As fellow boaters who spend time in the Caribbean and the southeastern US, we respect their guidance.

Depending on the weather, we may or may not spend time on the boat in the BVI during June-October (aka hurricane season).

ATLANTIC BASIN SEASONAL HURRICANE FORECAST FOR 2007
Issue Date : 3 April 2007

Named Storms : 17
Named Storm Days : 85
Hurricanes : 9
Hurricane Days : 40
Intense Hurricanes : 5

http://hurricane.atmos.colostate.edu/Forecasts/2007/april2007/

There was a news item yesterday saying that Dr. Gray is stepping aside and will leave the forecasting in the hands of his “very able” associate Philip J. Klotzbach.

I get annoyed when I think about all the money that Bill Gates and other obscenely wealth individuals bandy about, “giving” generously to “good cases” of their choosing, some which in turn benefits them! However, an entry in the Mill Valley Memorial Day parade reminded me that they aren’t the worst offenders. Nope, not by a long shot - not when compared with the US government and the spending on the war in Iraq as the signs of Seniors for Peace group pointed out. There are lots better things to do with all this money.

When the US economy goes south, the world (including most Americans) is going to be very surprised to discover just how many poor people there are living in the US today. Many of these folks have worked all their lives and still have nothing. What with the government taking big bucks, the education system teaching them to be good unquestioning worker bees, sophisticated marketing pros convincing them that their self worth depends on having a lot of expensive useless stuff and a healthcare system that doesn’t care about their health, these folks are as poor as anyone in most third world countries. And they have about as slim a chance of changing their longterm outcomes.

Cyberhomesâ„¢

Interesting site - type in the zip code and up pops specifics on the housing prices in the area, as well as some demographics.

We recently moved to Mill Valley. Population approx 30,000. Median value $1.2M. 12-month appreciation -4.7%

Compared with Alameda - 12-month appreciation -1.5% and Palo Alto +17.4%

Cyberhomes™ valuations give you access to most of the same information that real estate professionals use to evaluate homes. From Fidelity National Financial, the leader in property information, services, and technology for REALTORS®, appraisers, and lenders, you get the power of detailed, proprietary analysis of your home and community. Whether you own your place, are thinking of buying, or even just looking around, you can explore data ranging from property facts, value estimates, and a variety of important indicators of local and national changes in the housing market.

Our Data
The Cyberhomes database includes more than 100 million property, ownership, sales, and mortgage records, covering more than 85% of the United States population. We update more than 575,000 new ownership records every month, verified from the original source, and our data is also enhanced with more than ten years of appraisals and appraisal review information.

http://www.cyberhomes.com