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NEW -> Contingent Buyer Assistance Program
The Lennar ads in the newspaper on the Space Coast are much much smaller in

size than there were previously. But they say that they have to sell everything by

the end of November. End of fiscal year.



As if they know they have to do this, but are ashamed and embarrassed by it?



The sell everything is there, but not worded as if they really mean it. Are they violating some sort of loan requirement perhaps and hoping that their lenders won't notice? It's rather weird.
 
<a href="http://www.nytimes.com/2007/10/21/business/21every.html">Ben Stein sounds like he is starting to get it</a> but then as you read the article you realize he is still completely bleeping clueless about the MBS performance.
 
<p><em>BUT Zach Gast, an analyst at the RiskMetrics Group, thinks these increases are just the beginning of a series that will put pressure on bank earnings for several years, not just a few quarters. Indeed, under a moderate-case scenario that Mr. Gast recently outlined in an interview, bank earnings could fall as much as 18 percent over the next three years as a result of rising loss provisions. Deteriorating credit quality, combined with historically low reserve levels, could force the banks to bolster their loan loss provisions by $30 billion to $85 billion over the same time frame, he said. </em></p>

<p><em>“The nonperforming loan numbers are going up so quickly,” Mr. Gast said. “We do expect those loan loss provisions to be higher for quite some time.”</em></p>

<p><a href="http://www.nytimes.com/2007/10/21/business/yourmoney/21gret.html">Linky.


</a></p>

<p>But Ben Stein says everything is fine and to go eat a taco supreme.


</p>

<p>BTW be prepared for <a href="http://calculatedrisk.blogspot.com/2007/07/compleat-ubernerd.html">Tanta</a> to rip apart Gretchen again since she still has a hard time understanding how lose reserves work. Plus <a href="http://calculatedrisk.blogspot.com/">calculatedrisk</a> has some great posts on SIVs including a video.


</p>
 
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<param value="http://www.youtube.com/v/r-uPKVC0Qz4" name="movie" />

<param value="transparent" name="wmode" /><embed width="425" height="350" wmode="transparent" type="application/x-shockwave-flash" src="http://www.youtube.com/v/r-uPKVC0Qz4"></embed>





Hat tip to <a href="http://calculatedrisk.blogspot.com/">CR</a> for this video. I thought it would be a good idea to share it here too.


</object>
 
<p>Holey moley, I just read Tanta for the first time and my head is spinning.</p>

<p>If we all had an average IQ of 140 (and I for one do not), this sort of thing might be appropriate, but this stuff is too complicated to keep going. If the mkt continued to boom for the next 10 years, because the Martians had landed and were paying for property with the promise of eternal life, I don't think it could have been kept going, because there aren't enuf smart people in the entire world, and also because some IQ 160 type would have figured out how to make it even more complicated so they could squeeze out some more bonuses, which they would have wasted, for some more years. Leveraged the leveraging of the leveraging.</p>

<p>Talk about circles of hell. Which circle do the tranche slicers deserve to be in?</p>

<p>I understand the word leverage, but couldn't somebody have realized this could happen and stop it? Isn't this part of what caused the great Depression?</p>

<p> </p>

<p> </p>

<p> </p>
 
I don't know what a BMW X5 is.



In fact, I'm pretty sure I have never sat my tushy in a BMW anything.



I think cars are a waste of money. I drive a Ford um Focus? no, no Fusion.

I got my previous Ford Taurus up to 237,000 miles, and the previous one to 204,000, not taking particularly good care of either. Remember I drive weekly from Miami to the Space Coast and back and I eat in my car and I am a car slob. I don't deserve a nice car. We are not poor because we do not buy expensive cars. In fact, all cars look alike to me. Now, expensive art work, or diamonds, I can get excited about.



Back when houses hit their max, the hub and I had a pretty impressive net worth. Well, impressive by my very low standards. I even pressured him to sell, at the max, not because I saw this huge drop coming, but because I feared hurricanes would crush the house and the insurance companies wouldn't pay. Which is still true.



Why do you ask?
 
<p>Your posting style reminded me of another member who has gone silent as of late. Sorry for the confusion </p>

<p>I told Comcast how I actually used my sock and suddenly they didn't want it anymore. Oh well, at least they cleaned it while they held it for ransom.</p>
 
<p>A 750,000 dream home turn into nightmare with no end insight. </p>

<p><a href="http://www.newsweek.com/id/52608?GT1=10450">http://www.newsweek.com/id/52608?GT1=10450</a></p>

<p> </p>
 
Hang Seng was down 1092. All the Asian markets were down and the Euro markets are down. The yen is down to 113 and the futures are lower which keep getting worse.





Hey oil is down though.
 
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