How To Exploit Wall St. Contacts?
I have a lot of contactas in the mortgage-backed securities area. These are the bulk buyers of virtually any kind of real estate debt, they securitize the debt and sell the package as bonds. Any thoughts how to work with them for my own deals?
The first thing you should do is stick your nose into their business and ask if they ever when they buy a portfolio remove items that are obvious future problems either in short equities or in lack of proper qualification of buyer. Thats a good start. If the answer is that they just buy a portfolio willy nilly it also answers a question.
Good luck. Post your results. Lucius
Thanks for the reply. I know the buyers of the collateral (mortgages, notes, etc.) and the structurers of the bonds so I will do it. I fear, though, I am bit too small of an investor to capture their interest. BUT, it never hurts to ask.
Bob in NY.
I almost forgot ask them how the hell the Bank of Beal in Plano Texas (Near Dallas) was able to latch onto these large portfolios of non performing mortgages originated by FEEMA. They seem to have put up a note only and purchased for about 18% of face.
I would really like to know. No it will not effect my vote in the upcoming elections.
Cheers Lucius 8-) 8-)
I believe FEMA does not give out mortgages. Perhaps they were dnon-performing disastwer assistance loand collateralized by property and other assets.
Oh, this is a very hot growth area o wall street - buying up, bundling and selling what they cal sub prime mrtgages, AKAS ALT-A, ALT-B loans.