You know things are getting ugly in mortgage-land ...
"A hedge fund manager whose fund ran into trouble from the sell-off in securities backed by subprime mortgages is having to put his huge yacht up for sale, seeking $23.5 million.
"John Devaney, the CEO of United Capital Markets, a fund that specializes in buying and selling bonds that are backed by the mortgage payments, particularly adjustable rate subprime mortgages, has put his 142-foot yacht "Positive Carry" up for sale, according to a yacht broker's Web site."
Things must really be getting serious. LOL.
Actually, if you want to talk about something serious (seriously), check out American Home Mortgage Investment. Shares of the mortgage REIT that specializes in Alt-A lending still haven't resumed trading on the New York Stock Exchange after being halted early today. The company announced late on Friday evening that it would delay dividend payments "until it obtains a better understanding of the impact that current market conditions in the mortgage industry and the broader credit market will have on the Company's balance sheet and overall liquidity. The disruption in the credit markets in the past few weeks has been unprecedented in the Company's experience and has caused major write-downs of its loan and security portfolios and consequently has caused significant margin calls with respect to its credit facilities."