Subprime Mortgage Fallout - Spark REO Market

Subprime-related issues hit housing market again

Subprime-mortgage bondholders are flooding the housing market with homes that are being sold at significantly reduced prices, resulting in downward pressure on the market. "While the banks are trying frantically to get loans off their books, they face the problem of large shadow inventories of housing being dumped on the market, which would depress prices further," said Anthony Sanders, a professor at George Mason University. -Wall Street Journal

Victor Lloyd Smith

Millennium Lyon Asset Management