Re: real estate loan question

[Michael Perelman <michael@xxxxxxxxxxxxxxxxx>]

I saw that the article mentioned sub-prime loans, but would really risky loans like
negative amortization loans be securitized?  If so, maybe the foreign investors would
do better to buy the Rockefeller Center.

On Sat, Aug 27, 2005 at 12:54:40AM -0400, Doug Henwood wrote:
> Michael Perelman wrote:
>
> >Who bears the risk on the new-fangled real estate loans?  Are they
> >securitized like
> >traditional loans?
>
> Yeah it's mostly securitized. The WSJ had a piece the other day about
> how foreigners were buying the stuff up lustily. They quoted a
> Chinese portfolio manager who couldn't get enough of them. But our
> own pension funds &  mutual funds are big buyers too.
>
> Doug

--
Michael Perelman
Economics Department
California State University
Chico, CA 95929

Tel. 530-898-5321
E-Mail michael at ecst.csuchico.edu