when fha goes down, ginny mae is in trouble. they've been the one securitizing all of the fha mortgages. >> wow. that could be very bad news for the government securities market. john carney, you are terrifte t. clusterstock is terrific. i'll cover this story. >>> coming up, critical conditions. the real cost of the president obama camp prepare for health care sticker shock of $1.5 d trillion. that's the baucus plan. we'll be right back. this might not be the best time to sell a home. but we just can't wait for the market to heat up. (woman) need to sell? re/max agents have the experience to get the job done. nobody sells more real estate than re/max. where do you want to be? have discovered how easy it is to use legalzoom for important legal documents. so start your business, protect your family, launch your dreams. at legalzoom.com we put the law on your side. >>> can you believe the numbers? will the health care plan cost $1.5 trillion? that's what one of our guests says. we have matt miller, former clinton omb senior adviser

the fha commission would not need to be rescued but the new york times reports that 20% of the fha loans last year are in trouble. even facing foreclosure and as much as $675 billion. >>> the rapper known as soldier boy was arrested. the 19-year-old, better known by his stage name, shoulder boy, was charged with running from the police. police say when they responded to a complaint at the home, he fled. he was arrested when he returned to get his car. >> was it anything ddddddd >>> a mother with war rights so much she became a victim of gun violence herself. and this family tragedy was viewed live via web cam. >>> people joked about it being a bomb the moon mission. for astron me buffs, the bomb was no joke when they got up in the wee hours to see the spacecraft hit the moon. what some are saying about the less than spectacular show. >>> hey, there, i'm virginia cha. baseball fans will have to wait another day to see the rockies' home opener. it's been postponed due to this, snow. it's the scene inside the stadium in denver earlier today. the game has been pushed to tomorrow night

. >> -- ratio, and the delinquency rate for the fha is now above 14%. that's about three times higher than on conventional mortgages. in many respects the reason for this financial deterioration is that fma ha is underwriting hig mortgages. between 2000 6 and the end of nt year they expanded 1 trillion. the fh a's very low, i would say absurdly low, 3.5 down payment policy. in combination with other policies to reduce up front costs to new home buyers, means that the home buyers can move into their government-insured loan with an equity stake of about 2 1/2%. so in essence, the private market for loans with little or no money down has shifted on to the books of the federal government. are you concerned with the long-term consequences of this trend and the rapidly deteriorating capital cushion of the fha and are you confident this will not turn into another fannie/freddie situation which could have easily been prevented if we listened to the fed in 2004 and 2005 but ends up costing taxpayers billions of dollars. i remember when the fed came to news 2004

your own house price index shows some gains, fha for the first time in many months. now on the other hand we have millions of mortgages are in delinquency and heading to foreclosure. i saw a number the other day. it talked about an 18% increase in this year over last year the number of foreclosures in this country. it's associated with unemployment rates rather than subprime. nonetheless those numbers seem pretty high. i would like to ask what your expectations are regarding housing prices and what impact that will have on the performance of the enterprise, in your view? >> senator, i don't have a forecast for national house price approximately i'll affirm what you said that fhfa own price index which is based on repeat mortgage transaction and mortgages that flow through fannie mae and freddie mac has been pretty stable this year. it's up very slightly for the year. so that is one indicator that at a nationwide basis, there may be some bottoming out of house price. the number is only a more recent, first time in three years that it has shown an uptick in house price

we are well aware of the advantages of a fha's. republicans have generally believe that we want consumers to take more direct responsibility. part of that has to do with getting in the game so that they will be better health consumers. as a result, these hsa's have proven to be a popular way to have a relatively low-cost insurance policy but still provide for catastrophic coverage and not to bankrupt you if you have something really bad happened to you. the other point that i wanted to make is that there is kind of a misconception. let me make this point first. the difference, for example, on the average, is that -- in other words, you can get an hsa for less than the employer-sponsored family premium. the second thing i want to mention is that there is kind of a myth that people who invest in these are younger and more wealthy and so on. we just got these statistics together that i think will put down that myth. 46% of the people with hsa's -- these are last year's numbers, by the way -- live in lower income neighborhoods. a total

in testimony before congress this week, the fha commissioner insisted his agency would not need to berescued but the "new york times" reports that at least 20% of the fha's loans from last year are in trouble. even facing foreclosure. the fha insures nearly 5.5 million single family mortgages worth as much as 6$675 billions. >>> early yesterday morning nasa intentionally crashed not one but two spacecraft into the surface of the moon. the space agency says the crashes will help determine if there's water on the lube ar surface. they're excited about the possibility, but as rosemary church tells us, it didn't make a big splash with everyone. >> reporter: even before nasa's rocket hit, global reaction to the lunar mission to find water on the moon was lighting up the internet. >> lead story this afternoon is this -- you luna ticks, nasa -- >> in absolutely shocking news, nasa have launched a mission to bomb the moon. i'm not making this up. they are seriously bombing the moon. this is the most outrageous waste of money i've ever heard of. >> so nasa is going to destroy the moon. >> repo

the first of which about the fha and rash of loans backed by government insurance.d you were concerned that we were creating another bubble. how did you feel about his answer? >> i thought his answer was not specific enough because if you recognize that we're now leveraging those institutions 50-1, the fed last protested when it was 100-1 with fannie mae and freddie mac. he partially acknowledged the problem, but said congress has to decide in terms of how to weigh these options. basically implying between risk and social policy. that's what got uz into trouble with hud. saying we're going to have zero down payments. that we were going to have 50% mortgage portfolio of subprime and loans with respect to the portfolios of fannie and freddie. that's lost a trillion dollars in the system. so yes, i think he sort of punted that back to congress and then we went on to the second question. >> that's right. you asked another question that i love, is loose money how we got here in the first place. how did you feel about that answer? >> i thought we had it, you're right. i m

talked about the fha market and blah, blah, blah, how they're levered more than bear stearns was at their peak and there are a lot of people out there who say the data doesn't support this rally. i'm one of them. not nearly as smart as those folks. but i'll say it again. you can't fight it. the market wants to go up right now. fantastic tape. goldman was late. you can't make the argument that they weren't late. you can make the argument that maybe they'll show continued strength. but there's no way you can't say that they're late. but that being said, right now the tape just wants to go up. >> the last week we clearly lost momentum and risk is being taken off the table. the number this morning, ism, non-manufacturing, that was pretty good. goldman's call, again, that was good as well. but when you look at the marketplace right now and you talk about what's going to be the catalyst going forward, it's all about top line earnings, it's all about sales growth, it's about q3 earnings. we got a little taste of that tonight. and that is what the street is going to care about over the next coupl