Latest on builders, Fed officials saying lending standards too tight.

Check out these two headlines. No wonder nobody knows what to do.

Today’s must-read links… -New Government-Assisted Refi Program Coming (MarketWatch) -CHART: Areas With Most-Underwater Homes (NewYorkTimes) -The Eurozone Crisis Explained in Brief (RobertSinn) -Kids With Huge Jobs At Treasury (BusinessWeek) -UK Shifting from ARMs to 30yr Fixed? (FT) -Is Teaching A Profession (Weakonomics)

Usually I don’t repeat foreclosure numbers, for a variety of reasons. But the latest numbers were so bad I had to say something: the number of notices of default jumps 25.9% from the second quarter. An estimated 71,275 notices of default were filed against California properties during the three months that ended Sept. 30, with [...]

After four bank failures Friday, eighty banks have failed in 2011. At the current pace 100 will be closed this year, better than the 160 banks the FDIC closed due to insolvency in 2010 or the 139 that failed in 2009. According to Trepp, a CMBS and commercial mortgage data services provider, loans tied to [...]

Some believe that DTC (Direct to Consumer) lending will eventually pass retail channels. For now, the MBA says internet-lending still accounts for less than 10% of mortgage lending. Until this number changes, here’s National Mortgage News’ list of the top traditional retail lenders: Wells Fargo, Chase, Bank of America, PHH Mortgage, CitiMortgage, Quicken Loans, U.S. [...]

Whether it is due to a backlog, or the improving stability of the remaining borrowers, foreclosure numbers are improving. But it is still an issue to be reckoned with in our industry. In a Deed of Trust state (like California) as opposed to a Mortgage state (like Michigan), foreclosure is accomplished through a “trustee’s sale” [...]

The U.S. Treasury Department is exploring a plan that could help 1 million or more homeowners avoid foreclosure. It applies to non-agency (in securities not issued by government agencies) mortgages, and is an attempt to promote modifications of delinquent or defaulted home loans, including write-downs of principal, by bringing fresh private capital into the market. [...]

-5 Funds With Largest Outflows of 2011 (InvestmentNews) -Foreclosures See 25% Drop 1st Half of 2011 (NatMortgagePro) -Is Bernanke Adopting Worst Greenspan Policies (TheBigPicture) -Why You Avoid Your Most Important Financial Task (NYT Bucks Blog) -Home Remodeling To Highest Level Since 2004 (HousingWire) -A Few Things To Remember About Debt (Economist via Minyanville) -The Problem [...]

-Areas most impacted by loan limit cuts (LendingTree Chief Economist) -Case Shiller Head David Blitzer on Home Prices & Foreclosures (S&P) -Google+ Reaches 10 Million In 2 Weeks (VentureBeat) -Why Loan Limit Cuts Aren’t a Big Deal (TBP) -Key Earnings Reports Next Week (Bespoke) -Debt Ceiling Charade (CalculatedRisk) -Interest Rate Stories (Krugman)