First Magnus and Countrywide

Well First Magnus is the next mortgage lender to call it quits.

First Magnus

And you know the mortgage industry is in for it when the #1 mortgage lender taps into their equity line.

Countrywide

Re: First Magnus and Countrywide

This is scary stuff

Re: First Magnus and Countrywide

glad we closed 3 weeks ago
this mortage sitch stinks

Re: First Magnus and Countrywide

I herard that the CEO of Countrywide has been quietly selling his stock. I believe they will claim bankruptcy. Thsi issue stems from so many things. Everyone thinks its the sub prime borrowers and some of it is, but most of the issue is people got into houses they could not afford with interest only loans or ARMS.

Another issue is when people can't pay, the mortgage companies will not take partial payment. I think that is biting them now-keep the revenue stream going....1st rule of business!

ETA: I read your article after I posted Its the chairman not the CEO

Message edited 8/16/2007 2:44:31 PM.

Re: First Magnus and Countrywide

as someone who works in lending - its the industries own fault - they shouldn't have been doing stated income mortgages for people with 550 fico scores in the first place

Plus - they sell these mortgages in the secondary market, so they dont care about the repayment since they arent keeping it on their own balance sheets - now that people dont want to buy their cr@p mortgages, they want to be bailed out

Message edited 8/16/2007 4:46:50 PM.

Re: First Magnus and Countrywide

i had a long time REA that is a patient of mine tell me on Monday that Countrywide was going to announce how bad their problems are this week, I almost didn't believe her...she was right.
I DO NOT want to see these companies get bailed out, they need to eat this $hit pie they made. This same person also told me she has 35 foreclosure & short sale listings in her office that really only services Babylon village, west Islip & Brightwaters in the lake section. That's ALOT of foreclosures in that demographic!!!

Re: First Magnus and Countrywide

they wont be the last- my DH thinks that almost all of them will be gone in the next few months

there are a few that wont- but most will

Re: First Magnus and Countrywide

this market is making me nervous

Re: First Magnus and Countrywide

what happens if Countrywide goes under? That is who our mortgage was sold to.

Re: First Magnus and Countrywide

Re: First Magnus and Countrywide

Re: First Magnus and Countrywide

so our house wont be given to us for free???? A girl could dream!

Re: First Magnus and Countrywide

Re: First Magnus and Countrywide

Re: First Magnus and Countrywide

Re: First Magnus and Countrywide

so where does that leave all the people like your DH in this field? What does he think will happen? If everyone needs a good score & all their paperwork in order to get a loan, they may as well go to a bank. And if the firms that brokers are selling for can't get money how will they write any loans?
How does your DH being in the business see this mess playing out?


he sees FHA loans as the future and is starting a new job next work where that is a big chuck of there business- and can do them in every state

if this doesn't work out- he is done with the business and will have to take his series 7 again b/c it expired

he could have left the business now - but felt that he left the stock business after 9/11 and everyone that stuck it out made big bucks

he is hoping this mess clears out all the people that don't belong in the business to begin with

Re: First Magnus and Countrywide

Re: First Magnus and Countrywide

I agree w/FHA being the way things are, that's they way they always were until all the shady $hit started in the last 4 years or so. There are going to be alot of unemployed people from the field out there looking for work, its sad.
Are you guys still looking to build a house OOS now that this mess is a national problem rather than a regional one?
Things like this are survival of the fittest, just like this crappy real estate market will eliminate every tom, d!ck & harry that got their RE license in the last few years & rode the gravy train.


we have no idea- I just got a great new job in NYC- and my field in really NY based- so we have to think long and hard if we can give up my salary

we will most likely stay here- but we will decided 100% in the next year or so

the company my DH is working for now has a main office in Atlanta- so if he is making money- he can transfer

we have been waiting to buy our first home b/c he predicted this was going to happen- almost down to the month

Re: First Magnus and Countrywide

Re: First Magnus and Countrywide

I didn't know you got a new job, congrats! I hope it will make your commute better. It sure is interesting trying to figure out how this whole thing will play out.


thanks- I just got it yesterday

much better commute- I can take the LIRR or the express bus

(1 more SUV off the road )

Re: First Magnus and Countrywide

Re: First Magnus and Countrywide

I used to work for Countrywide. To be honest, I think the only requirement we had for a mortgage was that you had to be breathing. The LO's would push the interest only products, etc. on people and they got suckered in not realizing in a few years their mortgage payments would increase thousands of dollars. In one Countrywide office they even altered documents to get people loans, guess what, they figured it out when people started forclosing.

My mortgage is with Countrywide also. If they do go bankrupt or out of business, your mortgage will most likely be sold/bought by another company. But that wouldnt be for some time. They will probably do what they can to stay afloat right now.