well, that will lock fannie, freddie, and they say the same thing for fha.t will lock all of them into the system that relies on the government. you are going to see more reliance on government rather than less, which i believe is probably what the cfpd wants. gerri: julia. >> well, you could not have more reliance on government because 90 percent of the market is backed by the government. [talking over each other] gerri: in the long run doesn't this new rulemaking seem to make the government even more important and lock it down for years to come? >> this rule is separate from the need for overall housing finance reform. i would love to see some reform, love to see us figure out what to do. i don't think conservatorship -- [talking over each other] gerri: handle all of onetime. >> well, it has not been handled. the time was when dodd-frank was passed. conspicuously absent, and so we drove things out over the past four, three years. it continues, and that is what will happen. this is, again, a step in the wrong direction because it is really going to entrench

fha that still needs to be resolved because of their capital reserve problems.sive uncertainty in the housing finance system, and qm just settles one small portion of this. i think the cfpb did a pretty good job on this rule, but we have a lot, many more shoes to drop here before we get the markets settled and really understand what credit is going to look like. >> diana, i mean, i think maria hits the nail on the head, right? it's a question about whether you get to the point of what's restrictive for the banks. banks are already not lending to the level that some people would like them to do. you just rattled off or we just heard rattled off an entire list of the headwinds that the banks are facing. >> yes. >> and yet here's another one. >> but they are already doing a lot of this, and that's the point. what the problem has been is that there's been so much uncertainty in the mortgage market because of regulation that's been coming, and we've been talking to a lot of investors over the past couple of days looking to get back into the mortgage market. that's pr

the scariest is what would happen if they go after fha loans. remember, most are originated around% down payment more or less come you can get an fha loan at 2% to 3% down payment. the number of person who should be focused on this is recently confirmed caro ponte who is a pilot underwater mortgages. if you seem to use eminent domain, should we also use this to go after fannie and freddie allowed and that's what they have to focus on. your second question here is what would be the long-term implications to securities market? try telling a chinese investor pacific capital work in the united states right now, the u.s. residential real estate. pylon out lots of new skirt or ossetians coming in and taking property and 69 city mrp folks can design to their needs rather than the person. had we fixed it and freddie in the gac problem in the united states quakes simply makes that much more impossible that rdas. >> the argument at some point in the future we may do this again when never done this in the past and now it makes no sense at all to me. the re

. >> half cannot qualify for fha loan. 90% of the loans made last year were going to the fha, most ofm were for refinancing. you know, take the salt shaker with you when you talk about the recovery in housing because we're off the bottom. we're maybe 20% back from where we were. cheryl: i think it's based on numbers for 2012 on the same time financials, best performing sector of 2012. >> right. cheryl: what do you think of the financials of 2012? obviously, potentially a head wind as you say. >> wall street was underweight financials. that's not surprising they came back. bank of america and citi, 20 # 12, for all banks, even prefers rallied 16 points. they are not supposed to move that much. investors are starved for income. i think the feds' interest rates policies were the major driver behind financials. revenue earnings so-so going into the year. mortgage bankers association, look at the numbers. we did a trillion-seven in new production last year, mostly refinancing. looking for a trillion-four this year because we refinanced everybody who qualifies. cheryl: book value, i mean, d

the impact potential on fha. i'd like you to expand a little bit about that, but also the long-term consequences on the security part. >> i think maybe two issues. the first, what i think deed and the crew has focus on going after private label mortgage-backed securities. what should be -- what would happen if they go after fha loans? fha loans are, most of them are originated around 3% down payment. more or less. two to 3% down payment. so when you talk about underwater mortgages, the number one thing to be focused on is -- who has a big pile of underwater mortgages of fha. so if you are saying we can use eminent domain to go after private-label mortgages, should also be set to go after fannie and freddie loans at fha loans? that's what taxpayers have to focus on. second as i think your second question here is, what would be the long-term implications to the security of market? try telling a chinese investor who wants to put a lot of capital in united states right now, let's put money in u.s. residential real es

it includes all fannie mae, freddie mac, fha lending.rograms come back in a way that will probably be needed to bring full on liquidity to finance. cheryl: what is positive that could be happening? it looks like inventories are hitting lows. doesn't that tell you that prices and sales numbers will trend higher this year with rates at three-point, you know, 3.25%. free money. >> there is no question that these lower interest rates are spurring people to go buy a home. there is a consensus out there that as soon as we start to see solid economic numbers, cheryl, we will see interest rates go back up. it will not jump up, spike up a lot, i do not think they will let that happen. i think you will see, cheryl, that interest rates could come up quite a bit. there is some product. let's just hope that they do not mess it up by messing with somebody's lending programs. cheryl: washington does have a history of messing up a lot of stuff. it is great to have you, as always. thank you. >> good to be with you, cheryl. thank you. dennis: rick perry w

then through the mrp refinance the mortgages through fha. but let me finish. through the program is determined later it was not free market value, the joint powers authority can be bankrupted it and nobody wins but the institutional investor with a pension funds who did not get fair market value now the mortgages are ripped off. >> i did not practice there. i/o lawyer but in fact, the condemning authority deposits with the court after they tried to negotiate with the property owner, they deposit what they think the value is worth then the property owner can take the money and still contest the valuation and get paid more. if they lose, they may have to pay back but the authority does have to pay something into the court to take the property. >> at the risk of giving tom a heart attack. i will agree with several things he said. he may not be able to go back to his office. [laughter] but i do believe there is potential of the proposal of the eminent domain. beyond the individual loans purchased. it goes into use servicers and investors recognizing a bid to make

you can get an fha loan at 2- 2-3 percent down payment.when you talk about underwater mortgages, the number one person who should be focused on a single, a big pile of mortgages in fha. if you're saying we can use eminent domain to go after private label mortgages, should we go out after fha loans. second, what would be the long-term implications to the security market? try telling a chinese investor, a lot of capital work, let's put money into the u.s. residential real estate. a challenging sell. now, pylon at lots of news characterization's of the united states government coming in and taking mortgages, their property and fixing them so that the mrp folks can designed to the community

for fha loans, there's a range. 43% is very comfortable. i think it's realistic." the new standards are part of the 2010 dodd-frank act. they hope to avert another collapse of the housing sector. in exchange for more selectivity, lenders may face fewer penalties if the loans fall into foreclosure. not the wild west, but not a strait-jacket, either. "the 'wild west' is done. this is about rational lending." however, the national consumer law center says applying a 43% debt-to-income ratio to someone making just a thousand dollars a month still invites abuse, yet now gives lenders "cover" from legal action. starbucks is attempting to block actor patrick dempsey's bid to buy tully's coffee in court today. dempsey's group, global baristas, offered $9 billion for the tully's franchise. now starbucks and agri-nurture, a food producer based in the phillippines, are offering to buy all 47 tully's locations in a $10.5-billion bid. starbucks wants 25 of those stores to rebranded under its own name. the case heads to bankruptcy court today. herbalife's ceo is fighting back. c

today tightening mortgage lending and raising premiums on fha loans and raising down payments for those625,000. that's what we should really be looking at. plenty more online at realitycheck.cbs.com. >> thank you so much. let's bring in christopher meyer of columbia business school. he joins me now on the housing market. thanks for joining us. >> yeah. good to see you, maria >> you say the window for refinancing will remain wide open, why? >> well, recent goldman sachs reports says there's more than 21 million people who are in a position to refinance, saving the least 150 bucks a month. there are lots and lots of people who haven't refinanced. a lot of those people are people with, say, less than 20% equity, underwater, even government programs are still sort of hard for, you know, many millions of people to access. >> well, i mean, what about the 21 million mortgages in a position to benefit from refis. is this including those who are -- and does that include those u.n. water? >> the 21 million includes people who are underwater, but, you know, if we were in a normal market. if you lo

the fha at the time concluded the billboards did not pose a significant danger to drivers. some drivers say it will get worse if they add movement to the ads. >> when they add movement, which i predict will happen, ones with people talking or moving, that will be very distracting and i think very dangerous. >> reporter: karen says she has seen drivers put on their brakes. >> i like the old ones better. they're less distracting. you glance, you get the point. you don't stare at them. oh, what's this? >> there's not been a study yet on the number of accidents caused by these signs but the swedish study mentioned in the story there will be presented by a national transportation conference in washington, d.c., later this month. >>> it's a late night mission in the dark that soon will be visible to you. crews are working through the night to attach 25,000 l.e.d. lights to the bay bridge cable all for the upcoming bay lights project. they plan to turn the north side into the western span into a moving light display. they are working hundreds of feet above the bridge in very frigi

the web site says the company specializes in fha financing for first time buyers. the oakland museum of california is now releasing this picture of a rare artifact that was stolen last week. police say someone took off with this gold and quarts box dating back to california gold rush. a $12,000 reward is being offered for the safe return. you can call the police department's tip line that number is also posted on our web site if you zront a pen handy. >> a north bay man could face time in prison for a rape of a man. the 25-year-old arraigned on nine counts related to the assault. police say he rushed up to the victim, threw her to the floor and sexual assaulted her. he also demanded money before running away. san francisco district attorney says the case is a reminder for them not to get distracted with their cell phones. >> we're using our cell phones and have a tendency to get engrossed in conversations. this is very, very important. >> jones was arrested near the area of the crime with the help of a helicopter. he could face several life ferms convicted. >> mean

i am opposed but there is a certain integrity verses subsidizing wear fha and they cannot figure out when it goes to people who are not in the housing business actually large investment banks do this stuff. but one year from now the house financing would be rational. it would be best in the consumption. >> speaking before your talky mentioned the extent of the fed's involvement it was so mind-boggling. >> people do not realize how bad dodd/frank is. it is a conscious effort to take over the financial system of united states. the way to do it safely is in the back room if you nationalize it socialism doesn't work because everybody can see it has failed but if you blame somebody else then it is a great way to do it. they had not made any big moves yet but with the consumer compliance, a credit allocation they can keep all four products you can see some prime consumer lending they control the capital ratios of the bank making this the prime high-risk mortgage have half as much capital to increase the prime lending they can subsidize grain energy therefore they can with the green energy

fha has tightened. fannie and freddie are tight. through the gses and fha decide to expand credit, which they might do, we'll not see thatting beg of a housing recovery. lori: do you think any of the damage done whatever the treasury secretary's role was is behind us and we have transparency on interest rates and what is involved to get a mortgage and move past this and to your initial point, that we'll see a satisfactory recovery in housing? >> we should see a satisfactory recovery in housing. in terms of secretary geithner i read a fed president lacker's comments on that, very amusing. yeah i think that was just kind the out of bounds for geithner and should have been thrown a 15 yard penalty pass but are they going to stop that? lori: right, right. >> would be surprised if they don't. lori: thank you so much. appreciate your knowledge. >> thanks, lori. melissa: so it is a quart heer to. as we do every 15 minutes, nicole petallides on the floor of the new york stock exchange with m&a action. nicole. >> that's right. look at dow co

. >> isn't that the irony between the fha and the post office.lion of debt and a bailout this year alone. we're going to raise 60 billion from the tax hikes so the president is saying we've got to raise taxes on the rich to better roads and build schools, half the money is gone to just bailing out two federal government agencies. isn't that the sad iron? >> it's worse than you think. >> thanks. >> because the post office has accounting tricks going on. they have been selling these forever stamps. a lot of people have been buying them because you can use them at any time no, matter how much it costs to mail a left so the post office is collecting all this money from mail it hasn't even delivered yet. eventually when -- when they are allowed to raise the price of a stamp, people are going to use the forever stamps and the post office will have to deliver all this mail, but they won't get paid anything because they already spent the money. >> it's a very sad state of affairs. jim, peter, always good to have you on the show. the one thing you might w

the offenspinnacle website saie company specializes in fha financing for first-time buyers as well as services. >>> well, now to the hostage crisis overseas. american workers kidnapped by an extremist group. there are claims of responsibility by an al-qaeda group run by this man. he was kicked out of al-qaeda last year because it was thought he was more interested in making money as a criminal than pursuing the al-qaeda agenda. the kidnapping happened in algeria. abc 7 news reporter martha raddatz is traveling with the defense secretary le leon panea in italy tonight. >> reporter: secretary panetta says the u.s. will take all necessary steps to deal with the crisis. >> by all indications this is a terrorist act and the united states strongly condemns these kinds of terrorist acts. it is a very serious matter when americans are taken hostage along with others. >> reporter: it all began when 20 armed islamic militants believed to be affiliated with al-qaeda approached a group of oil workers. the attackers were reportedly heavily armed, driving in three he unmarked vehicles. the oil work

. >> he's okay with fha.se there is from the government. >> we all know it really wasn't explicit because the government bailed out fannie and freddie. if it's a purely private market initially you're going to see a smaller market. when people talk about the size of the market and tightening of credit, and the recovery that you want to see come about as a result of that, you need homeowners to be able to buy a home. you want first time home buyers to be in the game. there's a lot of concern about fha and the fund and what that future's going to look like. >> let's talk about quicken loans because you have some phenomenal numbers for the number of originations you were doing in 2012, something better than complete, 200% increase from what your previous record had been. and that's not an indication just of what's happening with this market? >> no, it's not. >> or stabilization. >> no, it's not. you know, there's been a lot of things gone into that. number one, i think a lot of the larger players changed their f

you could use that, loans that have an fha guarantee. those might be deemed federal property. so this sort of threat, if a community even shows to do so, and not even sure it would be illegal. so what i describe as the scare tactic, what about everybody else. >> the perspective, local communities to take federal property indicated perpetually illegal. the 100 percent agreed. private-label security, 10 percent of them are owned by fannie and freddie, which the f fhfa is a conservative for. if you start taking loans that private-label securities are taking federal government property which the f hcfa has publicly indicated they are concerned about and may have to step in legally if you start taking federal property and interfere with their conservatorship hours. >> i don't think it is all or nothing. the fact of the matters, the development of value calculations have been around throughout the foreclosure crisis. the loans are identified under the eminent domain program are those that show a net present value beneficial to the investor and homeowner, and those are the only loans

. >> digital billboards have been around since 2007 when the fha gave the green light to install themcalifornia allow the digital billboards. >>> if you get caught it's a heavy fine driving in the carpool lane alone but a bay area man says he wasn't really alone and this is where it gets legally tricky and this case could have national impact. "today in the bay's" jean ellie has it shows. >> reporter: jonathan freeman wants his day in court, in october he intentionally drove by himself in the carpool lane and got a ticket. >> it took me ten years to get a ticket. >> reporter: but he says he wasn't really alone. he had his corporation papers along for the ride. >> family foundation. i got papers here for a person and he just yelled at me and said you need two persons in the car. i said i got them. >> reporter: under the law a corporation is a person, the carpool lane sign says two persons must be in the car. freeman says he's just taking advantage of corporate power. >> i'm just taking the power and rushing the power and using it for my service for driving in the carpool lane. >> it's

fha is even more economically rational. if you had to subsidize homeownership, do it so everybody knows what you're doing. i'm opposed to that, that there's a certain integrity and not personal subsidizing institution fannie mae and freddie mac were people can't figure out. a lot of demanding the end of the day presenting the housing business like the biggest supporters of freddie mac and fannie mae are pushing this thing who do this stuff. crony capitalism of the ultimate kind. they're closing in one year from now. easily developed in that period of time to improve the well-being of the united states with this investment consumption. >> john, when we were speaking the folder your talk, he mentioned to me the extent of the fred's involvement in the micromanagement. just give us a couple examples. it was so mind-boggling. >> people do not realize how bad dogfighting case because it is i believe a very conscious effort to take over the financial system in the united states. if you want to control an economy, control the alloc

i did it all right with a conventional mortgage, fha., the bottom fell out, i got caught and went under water. now i can i get a refinance and the house is worth nothing. is there anything in the new rules for people like me to get out of this mess that we did not create? what is on the table for us? thank you. guest: these are rules for mortgages to be made going forward. there is nothing in discussion about people in your circumstance, having taken out a mortgage during the mania, paying a price for your home which it is no longer worth and having the loan still out standing and having the house worth less than the loan. many people are in this circumstance. there are discussions about principle forgiveness. these are nowhere near being decided. there isn't anything for you in the new rules. they are about what to do going forward when you write a mortgage loan. host: there is an announcement that the banks completed an $8.5 billion settlement with regulators. take us through that case. guest: that settlement was around -- it was desig

it's not even clear you could use eminent domain to loans that had fha guaranteed you. the issue is for local communities to take federal property. the threat, the big uh-oh, what would happen? it is not clear if the community would choose to do so, that that would be legal. >> i agree with you. it is for local communities to take federal property, you're indicating is potentially illegal. i 100% agree with you. private label securities, 10% are owned by fannie and freddie, which the fhsa is the conservator for fannie and freddie. you're taking federal government property which they have publicly already indicated they are very concerned about this and potentially may have to step in legally if you start taking federal property and interfere with their conservatorship powers. >> i don't think it is all or nothing. fact of the matter is, they the develop a net present value calculations has been run off -- has been around throughout the foreclosure crisis if the loans are identified under the eminent domain program that show a net value beneficial to the investor and hom

the pinnacle realtors website, the business is owned by juan mancheno of orinda, and specialize in fhacing for first-time buyers and other real estate services. >> off a man accused of during an investigation last week in san francisco telegraph hill neighborhood was ordered held on $5 million bail. >> jovan jones faces nine felony counts including rape, robbery and burglary with the intent to commit sexual assault for an attack saturday on all the street. jones did not enter a plea in return to court on friday to be assigned an attorney. the 26 year-old victim was talking on a farm and entering her home when jones allegedly forced his way in, then robbed and sexually assaulted the woman. jones faces a maximum sentence of multiple life terms in prison if convicted on all charges. >> next on the kron 4 morning news any changes coming up to yelp in san francisco. how could help your--you make healthier choices. and new real-estate figures for bay area homes are out. will break ♪ i -- i got it, i got it made ♪ i got it made, i got it made ♪ i got it made ♪ fresh at subway ♪ breakfast made

you can get an fha loan for 3.5% down and a loan that comes to 5%. a credit score of 640 to qualify which most people certainly have. also, the prices in fill rerising up. they've -- in philly are rising up. they've turned the corner so there's no sense in waiting. even if prices, there the average house is $210,000 goes up by 5%, you can't save fast enough to catch up to it. she should get into the market right now and buy that house. >> okay. good answer. then here's a viewer e-mail from omar in massachusetts. omar writes, "with the market being slow, my wife and i were wondering if it's easier to give the house back to the bank. we're currently struggling to make the mortgage payments and feel if we give it back to the bank we won't have to struggle to pay it until it gets sold. we owe less than it's worth. besides credit damage, what other penalties would we incur?" ? >> handing a property back is a last resort. there's no reason for omar to do that because he said the house is worth more than the mortgage. he'd be much better off reducing the pr

i did it all right with a conventional mortgage, fha. in 2008, the bottom fell out, i got caught and went under water. now i can i get a refinance and the house is worth nothing. is there anything in the new rules for people like me to get out of this mess that we did not create? what is on the table for us? thank you. guest: these are rules for mortgages to be made going forward. there is nothing in discussion about people in your circumstance, having taken out a mortgage during the mania, paying a price for your home which it is no longer worth and having the loan still out standing and having the house worth less than the loan. many people are in this circumstance. circumstance. there are discussions about principle forgiveness. these are nowhere near being decided. there isn't anything for you in the new rules. they are about what to do going forward when you write a mortgage loan. host: there is an announcement that the banks completed an $8.5 billion settlement with regulators. take us through that case. guest: that settlement was

that are still outstanding that are important to resolve over the months ahead are the importance of fhaeform, credible movement towards xse reform and a -- gse reform. these will help assure stability and certainty in the market. we are looking forward to working with the bureau in the months ahead on the implementation of this rule and commend the bureau and its staff again for its expertise and it commitment to stabilizing the market and assuring the availability of credit across the spectrum. >> thank you, mr. moskowitz. ms. thomas, your statement. and i think we'll probably have better luck with the microphones, i'm told, if you just pull it quite a bit closer to you. >> thank you, raj. director cordray, thank you for convening today's field hearing on mortgage policy. i'm very pleased to be here to represent the views of our nation's 7,000 community banks. community banks play an important role in our nation's economy and in mortgage finance. they are locally-owned and operated institutions, and they have very strong ties to their communities and their customers. in many small town

fha serious discussion on a bipartisan basis about what was endeavored. it's not likely to be triggered because of the reduced increase in costs. so that's how i would handle medicare. social security is not an immediate threat in terms of our imbalance. i think we should sit down and have a discussion about how we safeguard and fortify social security for the longer-term. let me just finish quickly by talking about tax reform. dave camp sets out a target in the 25% rate for individual and a 25% rate for corporate taxation. i said i didn't think to setting that without indicating how you would get their was anything realistic. you haven't asked me how were going to get our revenues for sequestration. and i judge not, we're going to have to take a look at proposals like the 28% proposal at the administration. but with this caveat. i think i was among the first if not the first to say be careful about how you perceive it with itemized deductions. and so, we asked joint tax to give us chert on income distribution for each of them. and the income distribution

i did it all right with a conventional mortgage, fha.n 2008, the bottom fell out, i got caught and went under water . now i can i get a refinance and the house is worth nothing. is there anything in the new rules for people like me to get out of this mess that we did not create? what is on the table for us? thank you. guest: these are rules for mortgages to be made going forward. there is nothing in discussion about people in your circumstance, having taken out a mortgage during the mania, paying a price for your home which it is no longer worth and having the loan still out standing and having the house worth less than the loan. many people are in this circumstance. there are discussions about principle forgiveness. these are nowhere near being decided. there isn't anything for you in the new rules. they are about what to do going forward when you write a mortgage loan. host: there is an announcement that the banks completed an $8.5 billion settlement with regulators. take us through that case. guest: that settlement was around -- it wa

it's not even clear you could use eminent domain to loans that had fha guaranteed you. the issue is for local communities to take federal property. the threat, the big uh-oh, what would happen? it is not clear if the community would choose to do so, that that would be legal. >> i agree with you. it is for local communities to take federal property, you're indicating is potentially illegal. i 100% agree with you. private label securities, 10% are owned by fannie and freddie, which the fhsa is the conserve or the for fannie and freddie. you're taking federal government property which they have publicly already indicated they are very concerned about this and potentially may have to step in legally if you start taking federal property and interfere with their conservatorship powers. >> i don't think it is all or nothing. fact of the matter is, they the develop a net present value calculations has been run off throughout the foreclosure crisis if the loans are identified turned eminent domain program that show a net value beneficial to the investor and homeowner. those were

we're grandfathering in some of the worst aspects of how the fha and gses still continue to fit into. it's grandfathered up to seven years unless they get their house in order, but how much -- about reforming the gses. they are the mortgage market. what he said in particular that's disturbing, at least in the old days you could see the difference between prime and subprime, but now based on the automated underwriter system, is if you don't qualify on what they dr prime, you go on this other exit on the mortgage freeway. that puts you on what used to be considered subprime. that's what goes into the quote, so basically we're just going to continue to have had you high-leveraged people buying houses that may not have the ability to pay back. think about it this way, once they're considered a good risk, there will be claw backs and taxpayers will be on the -- consider what is prime, according to the rules of 43% debt to income ratio, the whole nine yards. once you establish these as now, according to the government, these are given the kiss of approval, what if people lose their jobs, w

right next door is a government-owned fha foreclosure.guy, aaron etleheight, i interviewed him a few years ago when he was buying foreclosures out of his living room. guess what, he now owns more than 2,000 homes. and he's turning his holdings into a real estate investment trust. just like apartment owners do. this is the new rental model. three years ago, did you ever think you would be as large as you are today? >> i hoped for it. it's happened a lot faster than i thought it would. >> now, edelheit employs 250 full-time workers. buy, rehab, market, rent and manage the homes. by buying the homes at a discount and using his own teams to rehab them, he's giving his investors not just cash flow, but he's bringing a distressed home back to its real value, a value that will likely grow. >> it's showed through dividend payments, through the price that we're paying, through our property management, that we can do this. so i started communicating this to investors, this is a generational opportunity to really institutionalize a business that's b

if it wants to be in the mortgage business it does it through fha and we've been doing that for a longnd it down by reducing by $100,000 a year the fannie and freddie guarantee such that it's about $650,000 today, and so five years from now, it's out of the business. and people are worried that 30-year mortgage goes away, and there will be no private mortgage. jumbo loans have been around forever. and the difference between a conventional fannie and freddie rate on a mortgage, and a conventional -- and a jumbo has been about 25 basis points the way the markets work out. that's about $40 a month on a $250,000 mortgage. we can do this. we just have to do it. and we've been talking about it for four years and nothing has been done, which is about true of everything in washington. >> but do you -- >> nothing gets done. >> you have a plan and you have a way of laying it out and you get it but do you think that there will be something that's done on this? i mean, like you said, nothing's been done to this point. what changes that situation? >> how the market is coming back. we can grow the e

federal housing administration, fha. it was the fascinating project because it dragged on for two years. >> guest: they thought there were going to put this together for about three months, and we wrote some articles after three months, and it generated a tremendous response. what happened was poor people were being sold defective houses in the federal government was assuring that, and it would collapse after a month or two men in the same guy who sold it would come in and fix it up again and selig and the somebody else. so this generated a huge response. encourage this at the paper, just keep working, just keep digging and see how far this goes. >> that should have been no warning sign to editors because we just kept producing more and more and more. and there was one, one of our editors from the later years to warn, don't as the many questions. it will generate another 50 inches of copy. >> host: 1979, your first book came out, empire, life, legend, and madness of howard hughes. why howard hughes? >> guest: we had done

but if they are going to sell it to fannie or freddie or fha, they are likely to have to have to followf you have comments or questions about anything you see here on squawk, e-mail us at squawk@cnbc.com. looking at twitter, people weighing in on herbalife. some people are saying it's modern day snake oil. some say that the prescription drug industry is the evil and that natural supplements are the way to go. >> worth passing along new york post now reporting that carl ikahn is reportedly getting involved and going long on herbalife. remember, you had einhorn make some comments a couple months ago that makes you think he was on the ackman side of the world. so i don't think we've had a divided -- >> and looking at where the sock is and their feeling about the stock has nugd to do with thinking the product is good. >>> the early read on today's trading session from the futures pits in chicago, after the show, the fun isn't going to end. join me on facebook for a question and answer session. for me, it's just about not, you know, pulling a brent mussberger. i don't want to become famous f

factors that are still outstanding that are important results over the months ahead are importance of fhand a proper evolution of those issues. these will help assure stability and certainty in the markets. we are looking forward to working with the bureau in the months ahead on the implementation and to commend the bureau of its staff again for its expertise and commitment to stabilizing the market and ensuring the availability of credit across the spectrum. >> thank you, mr. moskowitz. ms. thomas coming your statement and i think that we will have better luck with the microphone i'm told if you put quite a bit closer to you. >> thank you. directors khator, thank you for convening today's field hearing on mortgage policy. i'm very pleased to be here to represent the views of the nation's 7,000 community banks. community banks play an important role in the nation's economy and in the mortgage finance. they are locally owned and operated institutions, and they have a very strong ties to their customers. it's a reliable source of credit for home purchases. community banks have a vested inte

and germany, i can promise you, will be very proactive as regards the conclusion of such fha agreements. we've now given the mandate for a free trade agreement with japan, with canada. we're shortly before conclusion of an fta with the -- [inaudible] states. we urgently need to come to such agreements. and after decades of failed attempts, we would like to do this with the united states as well, develop such a free trade agreement with the european union. quite often cultural exports are a bit bit of a hurdle here on bh sides, but i think we need to do, we need to do this, we can do this, and we all will benefit. europe, um, has about 7% of the global population these days. if economic growth can be relaunched, we shall again have about 25% of the global gdp, and we have 50% of global social expenditure. so our prosperity can only be maintained if we prove to be innovators and if we measure up against the best. so let me make one remark about his address to germany quite often these days. german growth is driven by domestic consumption. we've done everything in order to increase domesti