Lenders Facing Repurchase Demands from Investors

May 28, 2008

The Wall Street Journal is reporting that mortgage
lenders are facing an assault on yet another front as the
mortgage debacle rolls on.

Investors, including Freddie Mac and Fannie Mae, are taking a long
look at loans they have purchased from lenders over the last few years
and the contracts that govern those purchases and are trying to
force banks and mortgage companies to buy back growing
numbers of troubled loans.