What We're Hearing

The anchor/pundits on CNBC (Larry Kudlow I'm calling you out) and other TV business shows have been blathering on all week about how the government needs to wean itself from not only Fannie Mae and Freddie Mac but the mortgage market in general. I got news for you, Larry: the private label MBS market ain't coming back any time soon and when it does it will be for low LTV jumbo mortgages with high FICO scores. Here's a prediction: Wall Street will never again securitize subprime loans unless there is some type of government backing on them or tons of mortgage insurance or something similar. The B&C MBS business is dead, dead, dead. And now for some good news: CMG Mortgage of California has hired 18 account executives that used to work for the now defunct Taylor, Bean & Whitaker...