I know I wouldn't. I believe there are better investments out there from a risk/reward perspective. Countrywide is in a bit of a jam, and it is not just from bad loans on the books. Looking at the Countrywide Foreclosures Blog (yes, there actually is one), I found this article:14,196 Homes Offered For Sale on Countrywide Financial's Website. I browsed through some of the site, and the small sample of numbers that I looked at seemed accurately reported. It also seems to mesh with Housingtracker.net. Browsing through the comments, someone noticed that the bank and trust offerings were not included. I looked, and at first glance, it seemed like he had a point. Now,it is a lot of work to verify all of this, but if it does pay out (and it looks like it does), Countrywide has nearly 100% of it market capitalization outstanding as REOs - in a market where houses just aren't selling and property values are falling fast. This is totally discounting each and every under performing and underwater mortgage asset they have on their books.
| Held by Countrywide Mortgage Co. | $ 2,910,876,468 |
| Held by Countrywide Trust and Bank | $ 2,969,067,322 |
| Total | $ 5,879,943,790 |
| CFC Market Capitalization | $ 6,180,000,000 |
| % market cap held as REO | 95% |
Just some food for thought.
Read somewhere else that Countrywide REO's can only be financed thru C'wide,they won't work with another mtg. co of your choice.
Sounds like desperation for fees.But then, isn't that what "helping resetter's" is all about, the fees?
Posted by: burtoby | December 04, 2007 at 02:47 PM
Read somewhere else that Countrywide REO's can only be financed thru C'wide,they won't work with another mtg. co of your choice.
Sounds like desperation for fees.But then, isn't that what "helping resetter's" is all about, the fees?
Posted by: burtoby | December 04, 2007 at 02:48 PM
If the house nearest me is any indication Countrywide's REO holdings are on the books at 60-100% above their mark to market price. 410 Avocado was first offered by CFC months ago at $1.2m. Currently it is unloved at $885k. Some fool knifecatcher will grab this POS at mid $600s but if Countryfried insists on doing the funding it just means they'll have to do it all over again in the mid $400s when I buy it.
Posted by: Rob Dawg | December 04, 2007 at 03:56 PM
You actually made me laugh with that one. Countrywide, of all the companies in this mess, is the last one to want its assets market to market. It will be guaranteed insolvent, and deeeeeep underwater. I am not even going to bother to post the numbers to illustrate this point, it s so obvious. Any creditors should should be trying to make their move now before the exit gets too crowded.
Posted by: Reggie | December 04, 2007 at 04:04 PM
Reg,
Any laugh these days is to be cherished.
I've tracked this house I've mentioned for a long time.
http://exurbannation.blogspot.com/search?q=410
This is a "poster child" for all the right/wrong reasons. Mostly because it is only a few miles from Corp HQ and is one of the biggest liabilities on the REO list and before I started blogging about it totally trashed. Now with multiple relistings, a failed auction, and all the rest it is still a "poster child."
IMO CFC is a prime candidate for pain because it tried to be the most national and most vertical. The last years have been crowded with theories of economies of scale and risk leveling and synergy. Yeah, remember synergy? They didn't cal it synergy this time they called it going vertical. Same sh¡t, different bag.
New Milk carton company: BHS Brookfield Homes.
Posted by: Rob Dawg | December 04, 2007 at 05:28 PM
Very interesting blog, you got a new reader for sure!
Posted by: Cash Advance | June 14, 2008 at 11:34 PM
the information of this post is very relevant
for what i am looking for, thank you so much for sharing this one
Posted by: ferragamo shoes | March 14, 2011 at 11:45 PM