Your Qna     New Questions     About Qna
EQNA is a growing interactive people-knowledge network with more than 120,000 questions and 450,000 answers from over 55,000 members worldwide. With all friendly functions, EQNA will be a fun place to join, share and discover knowledge, an open net space allowing you to connect with other people having specialized knowledge or ones with same interests to yours. EQNA login features secured logins using Twitter and Facebook enable you to place questions without sharing your personal information to us. Lets get out and join our community today!
Ask a Question
BLUE CAFE

What is the estimated sum total of all the Sub Prime Mortgages

Sequoia:

It is time the market got a little perspective on the scale of the subprime mess. It is not difficult to form an estimate of the scale of the real losses which are going to be uncovered, though by no means am I saying it is easy to get the estimate right. Here's one simple analysis to get to a figure: $700bn of loans written, of which 30% go into default over their remaining lives. Losses on each loan = 50% of principal. Total realised losses $105bn. Add in some loss for Alt-A loans : $600bn x 10% default x 30% principal loss = $18bn. Add in some credit card writeoffs linked to the types of people defaulting on their loans. You get the picture. Figures for the aggregate losses I have seen range from $70bn to $300bn. My guess is that the beancounters in 2020 will determine that the actual loss had been in the $100 to $150bn range. But it is largely irrelevant. It is what it will be. **EDIT Mar 08** How stupid was I in Nov 2007? Hands up idiotic covers it. Still, the thrust of the rest of this post is on point.

BLUE CAFE:

So, if the losses were determined to be in the 100bn to 150bn mark, why have the taxpayers given 700bn to the Financial sector?

Answer:
Text ColorBackground Color
BoldItalicUnderline
LeftCenterRightJustify
Ordered ListBulleted List
IndentOutdent
Horizontal Rule
SubscriptSuperscript
HyperlinkImage
Design ModeDesign
Html ModeHtml
 

Top Question And Answer

  • Does anyone know the estimated price for a plot of land that once held two row homes?
  • What is the estimated number of businesses in L.A. county?
  • what is the estimated e.p.a./ mpg's (miles per gallon ) for a 1994 honda accord 4 cylinder sedan
  • How do I pay my estimated taxes on line?
  • The Secretary of the Treasury - Paulson- has an estimated net worth of $500,000,000 (Five Hundred
  • Why 700 Billion when losses are estimated to be 100 - 150 Billion
  • 15,000 Homeless After Pakistan Earthquake ,and 72% have mortgages included in bailout package what?
  • Should we "standardize" the rate of home mortgages, ..just like we fix the cost of milk and bread?
  • I want to buy a bag,what is the baghttp:www.goyardreplicasale.com/Grade-Quality-Goyard-Saigon-Tote-Bag-PM-8941-Black/196/index.html
  • How is it:www.topreplicagears.com
  • Www.mokahandbags .com
  • Facebook new account opening form
  • Hom bhr0165301533Www.facebook.new account
  • Hom bhr0165301533
  • Hom bhr0165301533Www.facebook.new account
  • Hom bhr0165301533
  • how do I get mms message fro. mmsweb.iwireless.com
  • Find out how many cars of my model are registered
  • What would happen if a letter opens in the mail
  • Facebook new account open
  • Facebook New Account Creation
  • Facebook new account creation
  • locating a business that closed