Subprime losses could mount to $300 billion

US housing market losses are likely to be in the region of $200 billion to $300 billion, a report by the Organisation for Economic Co-operation and Development (OECD) finds.

An OECD report on the impact of the credit crisis says that if 14% of subprime mortgage holders default during 2008, financial institutions will lose $125 billion. If Alt-A defaults, a slowing economy and falling house prices are also taken into account, "losses in the $200 billion to $300 billion range would seem feasibl

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