General Motors has filed for bankruptcy, and they also want billions more in bailout money so they can restructure their debt. “You want more money? Wait here while I talk to the manager. I’ll be right back.” First-Time Homebuyer Tax Credit Facts There is still some confusion about the guidelines for use of the first-time [...]
Posts Tagged ‘GM’
GM Bankrupt, Servicing vs Selling Loans, Will Higher Rates Stall Recovery?, Roundup of Lending Guideline Changes
My kids asked me, “Which of your five senses tends to diminish as you get older?” I told them “My sense of decency.” Will Higher Rates Stall Economic Recovery? May was the third month in a row for stock market gains. Stocks have been appreciating as the credit freeze and bank liquidity crisis has eased, [...]
GM CEO Out, Market Quiet, Mozilovilles?
GM’s Chairman and CEO Rick Wagoner has reportedly been forced out as GM has piled up billions of dollars in losses and asked for government loans to stay alive. Wagoner was with GM for 32 years, and has been replaced by Fritz Henderson, the company’s vice chairman and chief operating officer. (Let’s hope his 401(k) [...]
Another Mortgage Closure, Housing Starts Dismal
GM wants $17 billion more. One trader from Cantor Fitz mentioned that, “GM seems like a pension plan that occasionally makes a car somebody occasionally buys.” Citi Loan Changes First things first. Yesterday I mentioned that “CitiMortgage now requires the following minimum FICO scores on all FHA and VA loans, including FHA Streamline and VA [...]
GM/GMAC Get $6b From Treasury (On Top of $13.4b GM/Chrysler Already Got)
GMAC, which is the lending arm of General Motors and makes auto, home and commercial real estate loans, will get $6 billion from the Treasury Department. Stocks are rallying today on the news, since it will help the firm continue giving auto loans to car buyers. This follows the $13.4 billion Treasury already agreed to [...]
Cash-Strapped Auto CEOs Just Like Cash-Strapped Dirk Diggler From Boggie Nights
Watching US auto CEOs in front of Congress asking for money to help them fight competitors who are crushing them is like watching Dirk Diggler in his Boogie Nights downfall. Below is what Dirk says to the recording studio when he can’t pay for his demo tapes to bring to the record company. Is the [...]
Auto Bailout Update, ISM At 28yr Low, All-Time Low Treasury Yields (graph)
Auto Bailout Update The three big domestic automakers are now saying they are working jointly on a new hybrid car. It runs on a combination of state and federal bailout money. Today marks the major automakers’ deadline to submit restructuring plans as part of its $25 billion bailout package. Conan O’Brien quipped, “A new study [...]
Auto CEOs Take Private Jets To DC To Beg For Taxpayer Money
Treasury has said from the beginning that the TARP funds will follow two primary rules: (1) Treasury needs flexibility to adapt the allocation strategy according to market conditions, and (2) funds would only be allocated to industries or firms whose failure would cause a catastrophic meltdown in global economies. It can be argued that US [...]
WeeklyBasis 11/17/08: Rates Steady, Citi Cuts 50k Jobs, Obama Now In Bailout Hot Seat
Fixed and ARM rates for loans up to $729k are even since last week, ending several weeks of .5% price swings. Rates on loans from $729k to $1m are also about even. Rates on loans above $1m are not shown below because that pricing is truly custom based on client profiles. Only a few lenders [...]
WeeklyBasis 05/16/05: Fixed is Fixed, ARMs Down
Rates/Commentary, week of May 16, 2005. Fixed rates are steady over last week and ARMs are down about .125% as mortgage bonds and especially Treasury bonds have rallied. Despite the Fed raising the overnight bank-to-bank lending rate by 2% since last June, the open markets are not following this benchmark rate. Markets trend have driven [...]
