Looking at localized areas won’t change the larger facts of how the bond/debt/lending markets are changing; things like Freddie/Fannie, Wachovia, CountryWide, et al... those are indications that things got bad, are bad, and the crap handed down by Merrill this past week indicates we’re not done yet.
Everyone, nationwide, will have to deal with the consequences of the current melt-down. Fannie and Freddie are going to increase their requirements of lenders, and are seeking to break down appraisal fraud, as are any national lenders that survive. Right now, Fannie & Freddie account for 80% of the secondary market. The effects of this have not been seen yet, but they will be a major factor in real estate valuations going forward.
The underwriter asked for a letter explaining why they didn't live together now. They are getting married in September and are religious folks and their morals are not to live together until they are married. I guess countrywide never heard of that. LOL!