GLG News by Mr. David Green CPA, Principal

Analyses are solely the work of the authors and have not been edited or endorsed by GLG.

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The Future of the Housing Market Post Government Support

April 26, 2010

This article questions whether the economy is running on government life support and makes the case that in the months to come we will have a clearer answer to that question when we see how the housing market responds to the pullback of government and Fed programs. My view is that the market has stabilized enough for these programs to be phased out and I will use points of the article to discuss what the next 1 to 2 years hold for institutional investors, banks, and homebuyers.

Investors Are Finally Dealing With The Real Seller of Troubled Assets

September 19, 2009

FDIC Packages Loans From Failed Banks | www.washingtonpost.com

The FDIC has rediscovered a program they used in the early 90s that was successful in the resolution of problem assets. My analysis takes a closer look at why the program is necessary, the details of the program, and the implications of setting the program in motion.

In Tampa: Lot Owners Woo Builders With Offer of Free Lots

April 1, 2009

Building in a bear market | money.cnn.com

This article is spot on.  From an insider's perspective I could not agree more with the author.  The Tampa residential market is decimated and it takes wild creativity to spur building activity.

Someone Play A Dirge For Corus

February 5, 2009

Condo King Corus Weights Its Options | online.wsj.com

This article clearly demonstrates the dire straits Corus Bank is facing as it deals with a soaring number of problem loans and an REO department full of repossessed condos.  The facts presented in this article are more than enough to make most people doubt Corus' ability to continue as a going concern.  Three factors are pressuring the bank heavily: a loan portfolio comprised almost exclusively of condo construction loans of which more than 1/3 are now non-performing, Treasury’s rejection of the banks application for TARP funding, and the distinct possibility the bank will face heightened capital requirements.

More Pain Ahead for Florida and New York - Most Others are Out of the Woods

February 3, 2009

Home prices fall at record pace | money.cnn.com

It is frightening to continually be bombarded with news of falling home prices and falling values for just about every other asset class known to man.  Many articles focus only on the price declines of homes without any consideration for the reasons why values are declining so much or when values will stabilize.  An analysis of trends and history can provide some insight into this situation.  Most people can handle bad news it is the uncertainty that is hard to deal with.  A look at home price trends shows that the bleeding should stop in 2009.

Land Is Valued Using Cash Buyers Discount Rates

November 19, 2008

How To Evaluate Land | www.builderonline.com

Lenders must face reality that today's value for land loans and A&D (acuisition and development) loans will yield pennies on the loan dollar.  There is no pretty way out for lender's exposed to this type of debt.

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