Free Republic

Eighty-five bungalows dot the cul-de-sac that joins West Ontario Avenue and East Ontario Avenue in Atlanta. Twenty-two are vacant, victims of mortgage fraud and foreclosure. Now house fires, prostitution, vandals and burglaries terrorize the residents left in this historic neighborhood called Westview Village. "It's created a safety hazard. And if we have to sell our house tomorrow, we're out of luck," said resident Scott Smith. "Real estate agents say to me 'We're not redlining you, but I tell my clients to think twice about buying here.'" As defaults surge on mortgages made to borrowers with spotty credit and adjustable-rate loans,...

General Electric's (GE - Cramer's Take - Stockpickr - Rating) crippled subprime mortgage business, WMC Mortgage, laid off most of its workers on Monday afternoon, TheStreet.com has learned. All loan processors, underwriters and loan officers have left the business. A customer service operator at the lender said it's still operating with a "skeleton crew." "They're working the pipeline that is here," said the operator. "They are taking originations, but we're down to minimal staff levels as of yesterday afternoon." GE announced that it was exiting the business over the summer, when the U.S. subprime mortgage fiasco caused a meltdown in...

NEW YORK (AP) -- U.S. home prices fell nationwide in August for the eighth consecutive month, according to the S&P/Case-Shiller index released Tuesday. And things could get worse, said Yale economist Robert Shiller, who helped create the index. "There is really no positive news in today's report," said Shiller, chief economist for MacroMarkets, which collaborated with S&P on the indicator. Home prices as measured by the index have fallen more every month since the beginning of the year. August is the 21st month of decelerating returns. An index of 10 U.S. cities fell 5 percent in August from a year...

NEW YORK (CNNMoney.com) -- U.S. stock futures fell Tuesday as signs that consumers may be cutting back fanned recession worries. Two major retailers warned late Monday about a slowdown in sales. Target cut its forecast for September same-store sales growth, saying that weak traffic will hurt sales, particularly in Florida and the Northeast, two areas that have been hit by the slowdown in housing. Video More video Money Magazine's Walter Updegrave gives advice on the steps you should take right now, to ensure a secure retirement down the road. Play video -------------------------------------------------------------------------------- Jeremy Batstone of Charles Stanley on why the...

NEW YORK (Fortune) -- For the past five years, the housing bulls have been trotting out one rational-sounding argument after another to explain why the boom made perfect economic sense. Forget about a crash, they assured homeowners. Expect a "soft landing" where your three-bedroom colonial in Larchmont or Larkspur not only holds onto its huge price gains, but keeps appreciating at a "normal," "sustainable" rate of 6 percent or so into the sunset. Real estate slowdown New homes slump worsens Pace of new home sales falls more than forecast as inventory builds, prices decline. (more) Freebies for home buyers Home...

HERNDON, Va. -- For years, real-estate brokers and home builders promised that the soaring property market eventually would glide to a soft landing. These optimists predicted that home prices, which had more than doubled in parts of the country between 2000 and 2005, would continue to rise, but at a more normal pace of 5% or 6% a year. -------------------------------------------------------------------------------- Interactive Tool • Use an interactive tool to search the latest data on housing inventories and price trends in 26 real-estate markets, at RealEstateJournal.com. -------------------------------------------------------------------------------- It isn't working out that way. The rapid deterioration of the market over the past...