Perspective: Industry should condemn sweetheart home loans for politicians
Which mortgage company chieftain took home $140 million in compensation last year while the company he founded lost $704 million? If you said Angelo R. Mozilo, CEO of Countrywide Financial Corp., take a bow. And add a couple of gold stars if you knew Mozilo's pay was comprised of more than $120 million from exercised stock options and more than $22 million in other compensation, according to a Reuters' report based on the mortgage company's year-end filing with the Securities and Exchange Commission...It's tempting to dismiss Mozilo's special deals as just another corporate perk, just another example of too much money in politics or just another instance of greed gone wild in real estate transactions.

The implicit government guarantee of Fannie Mae and Freddie Mac is now explicit
In a dramatic statement released Sunday, the White House and Federal Reserve moved to give the mortgage giants the capital they need to survive the depression in the housing market and turmoil in financial markets that had left them dangling over a cliff. Of most immediate importance, the Fed's board of governors voted to open up its emergency discount window to Fannie and Freddie. In addition, Treasury Secretary Henry Paulson announced that he will seek Congressional authorization to by stock in the two companies and increase the government's credit line. At the moment, each company may borrow only $2.25 billion.

I can't find anyplace else to thank the fine work of the NAHB (as Bush did some years ago) for saving the American economy, and making the American dream come true for millions of Americans. Their devotion to blocking consumer protection legislation, and meaningful accountability of their industry has panned out to be a real blessing in home affordability for all. As foreclosure rates have reached one quarter of a million families per month, thank you NAHB for that show of deep concern for American's ability to own the American dream. As serious new home construction defects went into the millions of homes during the big boom, thanks again NAHB for making most all those mistakes profitable for big name builders, though it was often devastating for the families who bought them.  And thanks for the spin on the whole situation, so most people may never know how much you've really done for to Americans. By Ron Jackson. Read more and comment...

SAHA sweetens Mirasol buyback deals
The San Antonio Housing Authority's board of commissioners unanimously approved an enhanced buyback program Thursday that offers the most lucrative deal yet to homeowners in the beleaguered Mirasol Homes neighborhood. The majority of the families own one-story houses and would receive $30,000 compensation, while families who own two-story homes would receive $50,000...The roughly 20 families that initially sold their homes back to SAHA for an average of less than $25,000 won't receive any further compensation, Cavazos said. Related HUD Letter

SAHA Ups Buyback Offer For Mirasol
HomesHomeowners in the Mirasol Homes neighborhood are receiving increased offers from the San Antonio Housing Authority to buy back their homes. SAHA has already spent about $5.5 million to decontaminate and repair more than 400 homes built by K-B Homes, but the authority's Board of Commissioners voted Thursday evening to increase the city's buyback offer to $30,000 per home, about $5,000 more than its previous offers. "It's a better offer, but I still think SAHA could do better," homeowner Randy Zaragosa said. See KENS Video Report

Mold contamination drives 2nd family from home
A second Daniel Island family has moved out of their D.R. Horton-built house after getting results of a mold test because the parents are concerned about their children's health. David and Terry Pittman said Wednesday that they decided to leave the house July 4 after consulting the ear, nose and throat specialist for their son, Anders, 7, who has suffered repeated ear infections. The highest level of mold contamination was found in Anders' room, the Pittmans said. ". ...The Pittmans were concerned about their house because their next door neighbors, Benjamin and Joy Allen, moved from their D.R. Horton house more than a month ago after receiving results of a mold test. The Allens said their daughter, Madeleine, 3, has suffered repeated serious respiratory problems. The family pediatrician advised that they leave the house.

Homebuilders (PHM, KBH, LEN) Taking A Beating On Fannie Mae And Freddie Mac Worries
Today, Pulte Homes (NYSE: PHM) is trading down over 3% to $8.76. Pulte has fallen over 15% in the past two weeks. KB Homes (NYSE: KBH) is down over 4% and trading at $15.04. KB Homes has fallen 20% over the past two weeks. Lennar Corporation (NYSE: LEN) is trading down 5% to $10.34. Lennar has fallen close to 30% over the past two weeks.

Senate Housing Bill Still Not Put to a Vote
The Senate failed to pass a huge housing package on Thursday, continuing a legislative process that has been repeatedly bogged down by procedural hurdles, even as the housing market worsens. The multifaceted bill, likely Congress's biggest response to the housing mess, would revamp oversight of the struggling mortgage giants Fannie Mae and Freddie Mac, a measure that Treasury Secretary Henry Paulson has said is vital to restore confidence in the U.S. housing market. The bill would also allow the government to insure up to $300 billion in refinanced mortgages, which Democrats say could help up to 500,000 people avoid foreclosure.

Credit card industry
Lawmakers are targeting some of the most common complaints of consumers in legislation that could come up for a vote before Congress adjourns in September. A third piece of legislation before both chambers, the Arbitration Fairness Act of 2007, singles out the mandatory binding arbitration clause in credit card agreements, which prevents cardholders from going to court if they believe they have been wronged. The bill would allow them the right to a trial. Consumers have to act responsibly in using their cards, but deceptive and unfair industry practices can add to the burden. Washington appears willing to help consumers with more regulation.

Local homebuilders must wait to build
New legislation went into effect on June 1st requiring all building contractors to personally be licensed by the state. Previously, only their company needed to be licensed. Thousands sent in applications for licenses. And now there's a huge backlog of builders waiting to get those licenses.