Print Page  |  Close Window

SEC Filings

Entire Document
Table of Contents

  acceptance of a short sale or deed-in-lieu of foreclosure), we have reserved for the substantial majority of the remaining losses on these loans;
  •  Our expectation that future defaults on loans in our legacy book of business and the resulting charge-offs will occur over a period of years;
  •  Our expectation that it will take years before our REO inventory is reduced to pre-2008 levels;
  •  Our expectation that we will realize as credit losses an estimated two-thirds of the fair value losses on loans purchased out of MBS trusts that are reflected in our condensed consolidated balance sheets, and recover the remaining one-third, either through net interest income for loans that cure or through foreclosed property income for loans where the sale of the collateral exceeds our recorded investment in the loan;
  •  Our belief that, if our loan modifications are successful in reducing foreclosures and keeping borrowers in their homes, they may benefit the housing market and may help reduce our long-term credit losses from what they otherwise would have been if we had foreclosed on the loans;
  •  Our belief that the new servicing standards we issued in June 2011 will increase servicers’ effectiveness in reaching borrowers, bring greater consistency and clarity to servicer communications with borrowers, and increase the likelihood that servicers will contact borrowers early in the default management process, as well as bring greater consistency, fairness and efficiency to the foreclosure process;
  •  Our expectation that serious delinquency rates will continue to be affected in the future by home price changes, changes in other macroeconomic conditions, the length of the foreclosure process, and the extent to which borrowers with modified loans continue to make timely payments;
  •  Our belief that foreclosure delays resulting from changes in the foreclosure environment will continue to negatively impact our foreclosure timelines, credit-related expenses and single-family serious delinquency rates, and will delay the recovery of the housing market;
  •  Our expectation that employment will likely need to post sustained improvement for an extended period to have a positive impact on housing;
  •  Our expectation that weakness in the housing and mortgage markets will continue in the second half of 2011;
  •  Our expectation that home sales are unlikely to increase until the unemployment rate improves further;
  •  Our expectation that single-family default and severity rates, as well as the level of single-family foreclosures, will remain high in 2011;
  •  Our expectation that multifamily charge-offs in 2011 will remain commensurate with 2010 levels as certain local markets and properties continue to exhibit weak fundamentals;
  •  Our expectation that the pace of our loan acquisitions for the remainder of 2011 and for 2012 will be lower than in 2010;
  •  Our expectation that there will be fewer refinancings in 2011 and 2012 than in 2010;
  •  Our belief that our loan acquisitions could be negatively affected by the decrease in our maximum loan limit in the fourth quarter of 2011;
  •  Our expectation that, if FHA continues to be the lower-cost option for some consumers, and in some cases the only option, for loans with higher LTV ratios, our market share could be adversely impacted;
  •  Our expectation that our future revenues will be negatively impacted to the extent our acquisitions decline;
  •  Our estimation that total originations in the U.S. single-family mortgage market in 2011 will decrease from 2010 levels by approximately 30%, from an estimated $1.5 trillion to an estimated $1.1 trillion, and