Grease for Housing?

images: NYT.. (also here)

Only four big lenders still in business, says Mortgage Insider. And they are: Bank of America, JP Morgan Chase, Wells Fargo and Citigroup. At the same time, these four lenders are the biggest recipients of Feds $250 billion bailout, via NYT.

The United States is also expected to guarantee new debt issued by banks for three years — a measure meant to encourage the banks to resume lending to one another and to customers, officials said.

Will this money trickle down to mortgages which in turn help homes sales?  Let's hope so. Because the market over in DC is already in the tank.

Tanking home prices, creates opportunity (only when you get money in the bank)....

UPDATE: The money quote from Treasury Chief ...

"The needs of our economy require that our financial institutions not take this new capital to hoard it, but to deploy it”