BusinessWeek’s Jody Shenn reports Lewis Ranieri believes the housing market has hit bottom.
Speaking at a mortgage bankers association conference in New York today, Shenn writes Ranieri said the following:
While “broad” concern that home prices have further to fall is restraining sales, “many, myself included, think we are at a bottom.”
The second or third quarter will prove the nadir, said Ranieri, who added that in his distressed mortgage business “we can’t buy loans fast enough anymore.”
Three years ago, the Guardian named Ranieri to its list of 25 people responsible for the financial crisis, calling him the “godfather” of mortgage finance. He was infamously pilloried in Michael Lewis’ book Liar’s Poker.
In the 1980s, Ranieri helped turned Salomon Brothers into a financial juggernaut through mortgage deals.
Today, he is chairman of Uniondale, New York-based Ranieri Partners, according to Shenn.