Merill Lynch);/*1217824544846*/ reported a net loss from continuing operations of $4.6 billion, or $4.95 per diluted share, yesterday, for the second quarter of 2008. This loss is in stark contrast to their second quarter of 2007, in which the company received $2.

As the foreclosure rate across the nation continues to rise, some savvy shoppers are finding an alternative way to become homeowners, the auction market. Home auctions, once only the realm of investors, are becoming more popular among the average home buyer as more banks are turning to auction companies as a way to unload their numerous foreclosed properties, finding that the discounted price that the homes will go for at auction is a better alternative them having them sit on the market for months, depreciating in value and being left open to vandalism.

Even as the Federal Reserve enacts new overarching rules to curb the rising number of foreclosures, a growing number of states are themselves taking steps to tackle the problem. Several states have passed, or are currently considering, their own legislation, and some might argue they are tightening the reins even more than the Fed.

The National Association of Mortgage Brokers);/*1217823716608*/ released a statement this week supporting the Federal Reserve Board’s plan to provide assistance, if necessary, to government-sponsored enterprises (GSEs) Fannie Mae and Freddie Mac);/*1217824098321*/ and for the board’s inclusion of the final HOEPA rule);/*1217823926821*/.

According to a study released by NERA Economic Consulting this week, the number of shareholder class-action lawsuits rose sharply during the first half of 2008, largely due to a surge in cases resulting from the subprime mortgage crisis.

A new report by the National Community Reinvestment Coalition reveals high-cost, foreclosure-prone mortgage loans are disproportionately made to minority borrowers, regardless of their income level. The NCRC study, Income Is No Shield Against Racial Difference in Lending II, examined subprime and near-prime (Alt-A) loans from more than 219 metropolitan areas in 2006, the most recent public data available.

The Financial Accounting Standards Board announced on Wednesday that it has pushed back the deadline that banks and financial institutions will have to implement the amendments outlined in FAS 140 by one year.

Michigan Paves the Way with Creative Techniques to Legally Avoid Costly Delays, Hasten Foreclosure and REO Sales When it comes to loss mitigation, quicker is almost always better. If the ultimate goal of every foreclosure is a clean, quick REO sale, avoiding delay by using creative methods can substantially improve results.

The First American Corporation announced its preliminary financial results for the second quarter yesterday. The company reported total revenues for the quarter ended June 30, 2008 to be $1.7 billion, a decrease of 20 percent from the second quarter of 2007.

GMAC Financial Services released its 2008 second quarter financial results yesterday, and it reported significant losses within its real estate finance business, Residential Capital, LLC (ResCap). ResCap recorded a net loss of $1.