Monday, February 20, 2012
The New York Times
Customized mortgages aren’t new, but industry experts say they are seeing more and more borrowers opt for fixed-rate loans with terms other than the standard 30 or 15 years, especially when it comes to refinancings.
Read the full story
http://www.nytimes.com/2012/02/12/realestate/mortgages-loan-terms-made-to-order.html?_r=1&ref=realestate
Thursday, February 16, 2012
Zillow’s Home Value Index declined 1.1 percent in the fourth quarter, the company recently announced. For all of 2011, the Index declined 4.7 percent.
The newly released Zillow Home Value Forecast predicts home values will continue declining through December 2012, but with smaller declines in 2012 than 2011. While home values in some individual markets are likely to reach a bottom this year, Zillow does not forecast a definitive national bottom until 2013. The Forecast calls for a national decline of 3.7 percent in 2012.
Metropolitan statistical areas (MSAs) like Los Angeles, Riverside, Calif., and Phoenix, which were among the hardest-hit in the housing downturn, will likely reach a bottom in home values and will experience home value increases or stability in 2012, according to the Forecast. Other markets that are likely to reach a bottom and see home values increase or remain flat in 2012 are the Baltimore and Washington D.C. MSAs. Markets which may end 2012 without significant increases in home values, but which are likely candidates to see a bottom late in the year are the Dallas, Denver, Miami-Fort Lauderdale, Fla., New York, Pittsburgh, San Diego, San Francisco and Tampa, Fla. MSAs.
More info
Monday, February 13, 2012
The New York Times
When borrowers choose a fixed-rate loan for a home purchase or refinancing, only one part of the monthly mortgage statement is ever likely to change: The escrow amount.
Read the full story:
http://www.nytimes.com/2012/02/05/realestate/mortgages-shrinking-the-escrow.html?_r=1&ref=realestate
Thursday, February 9, 2012
In the fourth quarter of 2011, 85 percent of homeowners who refinanced their first-lien home mortgage either maintained about the same loan amount or lowered their principal balance by paying-in additional money at the closing table, a 26-year high, according to Freddie Mac. Of these borrowers, 37 percent maintained about the same loan amount, and 49 percent of refinancing homeowners reduced their principal balance; this latter percentage reflecting “cash-in” borrowers was the highest in the 26-year history of the analysis.
“Cash-out” borrowers, those that increased their loan balance by at least five percent, represented 15 percent of all refinance loans, the lowest percentage in the 26 years of analysis; the average cash-out share during the 1985 to 2010 period was 46 percent.
The median interest rate reduction for a 30-year fixed-rate mortgage was about 1.4 percentage points, or a savings of about 26 percent in interest rate.
Monday, February 6, 2012
The Wall Street Journal
There were fewer houses for sale at the end of 2011 than in any of the previous four years, a positive sign for the housing sector.
Read the full story:
http://blogs.wsj.com/developments/2012/01/19/housing-inventory-ends-year-down-22/
Thursday, February 2, 2012
The Federal Housing Finance Agency (FHFA) today announced the first step of a Real-Estate Owned (REO) Initiative targeted at the hardest-hit metropolitan areas announced in August 2011. Investors interested in participating may “pre-qualify” to establish eligibility to bid on transactions in the initial pilot phase as well as subsequent phases.
The REO Initiative will allow qualified investors to purchase pools of foreclosed properties with the requirement to rent the purchased properties for a specified number of years. This rental period could provide relief for local housing markets that continue to be depressed by the volume of foreclosed properties, and provide additional rental options to certain markets. Prequalification ensures investors will have the financial capacity and operational expertise to manage properties in a way that is conducive to the stabilization of communities hard hit by the housing downturn.
During the pilot phase, Fannie Mae will offer for sale pools of various types of assets including rental properties, vacant properties and non-performing loans with a focus on the hardest-hit areas. The first transaction will be announced in the near-term.
California’s housing market is unique. California has an extremely low REO inventory where REO sales are getting top dollar in multiple offer situations. On average, REOs are sold are sold in less than 60 days. Bulk sales in California not only would have a negative impact on home prices, but would also push down home values for existing homeowners in those communities. C.A.R. is asking that the Federal Housing Finance Agency, Dept. of Treasury, and Dept. of Housing and Urban Development consider this program only in areas where REO inventory is abundant and selling in bulk makes sense.
Monday, January 30, 2012
C.A.R. Pending Home Sales Index dropped as expected between November and December, tracking the annual seasonal slowdown. However, the index was higher than a year ago for the eighth straight month, a trend that bodes well for the start of the spring home-buying season.
C.A.R.’s Pending Home Sales Index (PHSI) fell from a revised 108.7 in November to 91.6 in December, based on signed contracts. The index was up from the revised 82.5 recorded in December 2010, marking the eighth consecutive month that pending sales rose from the previous year. The decline follows a normal seasonal drop that usually occurs in November and December. Pending home sales are forward-looking indicators of future home sales activity, providing information on the future direction of the market.
Wednesday, January 25, 2012
The Orange County Register
California house prices had the seventh-biggest price drop among U.S. states in November, falling 5.9 percent from year-ago levels, according to data firm CoreLogic
Read the full story
http://lansner.ocregister.com/2012/01/10/156906/156906/
Monday, January 23, 2012
The Mercury News
Mortgage interest rates, near all-time lows, are likely to remain attractive throughout 2012. That means opportunities for new home buyers and for homeowners who want to refinance.
Read the full story:
http://www.mercurynews.com/real-estate/ci_19683720
Thursday, January 19, 2012
Homeowners who had a mortgage loan on a primary residence and who believe were financially harmed during the mortgage foreclosure process by GMAC Mortgage, HSBC Finance Corporation, SunTrust Mortgage, or EMC Mortgage in 2009 or 2010 can request an independent review and potentially receive compensation.
The review is intended to determine if borrowers suffered financial harm directly resulting from errors, misrepresentations, or other deficiencies that may have occurred during the foreclosure process. The servicers are required to compensate borrowers for financial injury resulting from deficiencies in their foreclosure processes.
A number of servicers supervised by the Office of the Comptroller of the Currency (OCC) are also required to conduct independent reviews.
Borrowers are eligible for an independent foreclosure review if
There are no costs associated with being included in the review; the review is a free program. Borrowers should beware of anyone who wants payment to assist with the independent foreclosure review or any other foreclosure assistance program.
Requests for review by the servicers’ independent consultants must be received by April 30, 2012. Borrowers are encouraged to carefully consider the information about the review program to determine if they are eligible to participate.
