Jefferson County, Alabama, may become the largest municipal bankruptcy in history. According to one of our panelists, “Jefferson County has to declare bankruptcy. The county needs protection from creditors, from bankers, from politicians--and from itself.” Having issued $3.2 billion in adjustable-rate sewer bonds, Jefferson County--in an attempt to hedge its...

Reform focused on sustainable lending would have FHA target a projected average claim rate of 5 per 100 insured loans under normal circumstances and 10 per 100 insured loans under stress circumstances.  This rate is about five times the normal default level for prime loans and about half the FHA's traditional default level under normal circumstances.

A scholar explains his support of the Mortgage Disclosure Amendment Act of 2007.

Over the last decade, the U.S. housing market has experienced an unprecedented increase in housing values and credit availability, particularly in the area known as “subprime” lending for buyers with less-than-perfect credit. In the last two years, according to the comptroller of the currency, 20 percent of all mortgage originations...

President George W. Bush revealed last week his policy response to the mortgage crisis.

The abrupt turn in the subprime housing market occurred in a reasonably strong economy. The Fed should ask what would happen to the housing market were the economy to weaken.

As the debt hangover works its way through the system, the outlook is for housing to continue along an extended rocky and bumpy bottom, generally moving sideways in nominal terms.

In the run-up to the 2008 election, it is likely that home prices willfall at an accelerating pace.