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Foreclosure usually was an absolute loss since none of these homes usually were worth as much as the homeowner owes. REO and subtracting this sale price from the note face value creates an absolute loss and is always paid by FDIC or some government or CDS insurance loss subsidy. They have used their amazing Washington DC lobby over last 4 decades to get to the place where Chairmen of Investment Banking companies now run Treasury and the ministerial Reserve. OK let me reel in my once more. Then once more, it’s how our partner Principal… Read Article →

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