We may be having a housing, as opposed to a market news, day. That would be progress of a sort.
More evidence that the US in entering a housing recession, as opposed to suffering a mere subprime problem. From the Wall Street Journal:
Mortgage defaults were roiling the thrift industry even before the recent turmoil in the subprime-loan market, government data show.
Troubled assets — loans that were 90 days or more past due or had been repossessed — at federally regulated savings-and-loan associations in the second quarter rose 49% from a year earlier to the highest level in 14 years, according to the Office of Thrift Supervision….
The thrifts make one of every four mortgages, specializing in prime or jumbo loans. Stress in their loan portfolios suggests that more types of loans — not just subprime mortgages — are under pressure.
The thrift industry had $14.2 billion in troubled loans, up from $9.5 billion a year earlier, officials said. That is the highest sum since 1993, though as a percentage of total assets it is only the highest since 1997.