Perfect Home Living supports NYSE allowance of stock trading for Fannie Mae
February 02, 2006 (PRLEAP.COM) Business NewsWest Valley City, UT /Press Release / — The 36th Annual Meeting of the World Economic Forum is officially over in Davos Switzerland. Roughly 2,500 economists, investors, academics and executives concluded five days of talks that addressed issues concerning financial markets and governments. Of significant concern were remarks regarding the financial markets and governments downplay of real economic threats.
“What’s occurring right now in markets and policy circles is a dangerous degree of complacency and from complacency comes the most damage to markets and economies,” said Morgan Stanley Chief Economist Stephen Roach.
A study released by the World Economic Forum outlined that the possibility of a 40 percent drop in the dollar and a surge in the price of oil to $100 a barrel are among the greatest short-term threats to the global economy.
But as Perfect Home Living reports the possibility of a greater short-term threat has already arrived.
All across the nation, cases involving mortgage fraud have been on the rise. The FBI reports for fiscal year 2005, losses stemming from mortgage fraud reached $1,014,000,000.
"When criminals and enterprises commit mortgage fraud their reach is no longer confined merely to the community, city or state where the act was committed. We are now witnessing the impact all the way to Wall Street," said Sheri Fitzpatrick, REALTOR and CEO of Perfect Home Living.
This past Friday, the U.S. economy was dealt a blow that could potentially have a long lasting negative impact on the housing market. Fannie Mae, the company which finances one in every five loans has not filed an earnings report since late 2004 when the government sponsored company admitted it was tangled in an $11 billion dollar accounting scandal.
The New York Stock Exchange could halt the sales of Fannie Mae shares and delist the stock, but at this time the NYSE has chosen to allow the stock to continue to be listed but is enforcing that Fannie Mae become subject to quarterly review by the NYSE.
"Fannie Mae has and continues to be a vital part of home ownership in America. Because we live in a liquid society information is available in seconds, and unfortunately that's all the the time it takes for fraud to occur," Fitzpatrick added.
Fannie Mae and Freddie Mac were created by Congress to pump money back into the estimated $8 trillion dollar home-mortgage market. The goal or the intent of Fannie Mae and its junior Freddie Mac would be to buy and guarantee the repayment of billions of dollars of home loans from lenders and banks, and then bundle them into securities that would later be resold to investors worldwide.
About Perfect Home Living
Perfect Home Living assists in implementing programs and providing training to financial institutions regulated by the FDIC and state and federal crime task force units that address mortgage fraud related crimes. For more information or to request assistance from Perfect Home Living please visit us online at: http://www.PerfectHomeLiving.com