Countrywide Home Loans in Trouble?

[Houston Texas]

RE: Countrywide Home Loans in Trouble?

Generally companies don't issue news releases to calm the public when they
are doing OK.

All those low-end VRM loans and 2nd mortgage home equity loans are going to
bite them in the ass.

[kastnna]

Post by Houston Texas
RE: Countrywide Home Loans in Trouble?
Generally companies don't issue news releases to calm the public when they
are doing OK.
All those low-end VRM loans and 2nd mortgage home equity loans are going to
bite them in the ass.

I wouldn't count on it. Subprime loans that actually go all the way to
default, foreclosure, and liquidation only consitute about 1% of all
home loans. Countrywide, being the largest lender, will feel a sting
but have more than ample cash and margin slack to survive.