The Suffolk project is one of at least four such programs being designated nationwide by the Federal National Mortgage Association, the largest private mortgage investor.
Interest rates are down, depressing yields to mortgage investors, and real estate prices are low, which raises returns to property owners.
The early junk bond investors, like mortgage investors, could make money and feel good about themselves.
After 1935 the FHA established guidelines to steer private mortgage investors away from minority areas.
CSW also licensed the indexes and forecasts to mortgage investors used to price transactions involving over $50 billion of residential mortgages.
Second, since fewer people refinance mortgages as rates go up, it takes longer for mortgage investors to get their principal back, which makes the bonds worth even less.
The bill changes provisions of Dodd-Frank in an effort to provide greater legal certainty to mortgage investors.
Lomas said its deteriorating financial condition caused the risk of intervention by government agencies or private mortgage investors.
For the private mortgage investor, this equity provides the cushion for the risk taken in extending a loan.
To be sure, there are some technical factors to consider - for instance, mortgage investors selling some of the Treasury bonds they owned to hedge their portfolios.