Part 6/9:
Looking ahead, the fourth quarter is poised to be pivotal. Experts anticipate that banks will undergo significant 'clean-up' efforts to address mounting exposures and tighten their risk profiles. A notable development is the upcoming major capital increase by Pulte, targeting non-bank mortgage lenders—an effort that threatens to reshape parts of the mortgage industry and potentially crush existing margins and business models.
The timing for these industry shifts is set for December, signaling a period of significant transition. The scale of these changes is substantial, with some experts suggesting that such adjustments could lay the groundwork for a wholesale reevaluation of leverage and risk management across the system.