Yahoo! - "Bernanke: Toughen Up on Mortgage Giants" (3-6-07)

"Federal Reserve Chairman Ben Bernanke urged Congress on Tuesday to bolster regulation of mortgage giants Fannie Mae and Freddie Mac, and suggested limiting their massive holdings to guard against any danger their debt poses to the overall economy. Bernanke has previously supported efforts to pare the two mortgage companies' huge portfolios. This time, however, he was a bit more specific and recommended that their holdings might be linked to a 'measurable public purpose, such as the promotion of affordable housing.'"

Reuters - "Subprime guidance may hit 60% of Countrywide ARMs" (3-6-07)

Sixty percent of Countrywide's customers seeking hybrid adjustable-rate mortgages, or ARMs, such as "2-28" loans would fail to qualify under the guidance that urges lenders weigh the borrower's ability to repay at the highest possible rate during the life of the loan, Countrywide CFO Eric Sieracki said at a Raymond James Financial Inc. conference in Orlando, Florida.

Chron.com - "FBI: Mortgage Fraud a Growing Problem" (3-7-07)

"The number of mortgage fraud cases investigated by the FBI almost doubled the past three years, reflecting a problem that is "pervasive and growing," the bureau said Wednesday in its annual report on financial crimes. The bureau said its mortgage fraud cases increased from 436 in 2003 to 818 in 2006, and acknowledged that its case load likely represents a small piece of the problem."

Business Week - "The Mortgage Mess Spreads" (3-7-07)

"The subprime lending industry is getting hammered, and hedge funds and investment banks are feeling the pain"

CNN - "Toll Brothers: Worst in housing nearly over" (3-7-07)

"CEO of luxury home builder says lower cancellation rate means that their inventory could be sold down within four or five months."

Market Watch - "Accredited Home Lenders slides" (3-7-07)

"Shares of subprime mortgage firm Accredited Home Lenders fell almost 10% Wednesday, its second day of big losses as it became the latest target of sellers nervous about borrower defaults."

Market Watch - "Home builders tighten their belts" (3-7-07)

"While an uncertain housing market anxiously monitors the spring selling season for hints of a turnaround, home-builder chief executives are keeping a close eye on their costs and the overhang of unsold homes on the market."

CNN - "D.R. Horton CEO: '2007 is going to suck'" (3-7-07)

"No. 1 U.S. homebuilder sees further write-offs due to unsold homes, lower value lands; expects '08 to be better."

Reuters - "FDIC sanctions Fremont over subprime loans" (3-7-07)

"The U.S. Federal Deposit Insurance Corporation on Wednesday issued a cease-and-desist order against Fremont General Corp. (FMT.N: Quote, Profile, Research) because of its subprime mortgage and commercial real estate lending practices."

Real Estate Journal - "U.S. Housing Markets Expect A Surge in Buyer Interest" (3-7-07)

"Here's a look at what's new in real-estate markets across the U.S. from around the Web."

LA Times - "Fremont General says court reinstates two suits" (3-7-07)

"Fremont General Corp., the California thrift whose mortgage-lending arm was shut last week by U.S. bank regulators, said Tuesday that an appeals court had reinstated two 2004 lawsuits brought by the state's insurance commissioner."

MBAA.org - "MBA Will Sign Memorandum of Understanding with FBI at MBA’s National Fraud Conference" (3-7-07)

"The Mortgage Bankers Association (MBA) and the Federal Bureau of Investigation (FBI) will sign a memorandum of agreement in recognition of the joint approval of a Mortgage Fraud Warning Notice. MBA and the FBI will make the Notice available to mortgage lenders to permit institutions on a voluntary basis to utilize it as a proactive means of educating consumers and mortgage lending professionals of the penalties and consequences of mortgage fraud."