Housing Market Recovery Dependent On Reduction Of “Oversupply Of Distressed Homes” (Video)
10 09 2011Comments : Leave a Comment »
Tags: Bank-Owned, Distressed, Foreclosures, Home Sales, Homes, Videos
Categories : Bank-Owned, Defaults, Delinquencies, Financing, Foreclosures, Housing Market, Investors, Mortgage Industry, Purchases
Latest Pending Home Sales Data Show U.S. Housing Market “Underperforming” As Difficult Underwriting Standards, Appraisal Issues And Short Sale Problems Weigh On Buyers
29 08 2011
http://renovationlendinginstitute.com/
“…Pending home sales declined in July but remain well above year-ago levels, according to the National Association of Realtors…all regions show monthly declines except for the West, which continues to show the highest level of sales contract activity…”
The Pending Home Sales Index,* a forward-looking indicator based on contract signings, slipped 1.3 percent to 89.7 in July from 90.9 in June but is 14.4 percent above the 78.4 index in July 2010. The data reflects contracts but not closings.
Lawrence Yun, NAR chief economist, said sales activity is underperforming. “The market can easily move into a healthy expansion if mortgage underwriting standards return to normalcy,” he said. “We also need to be mindful that not all sales contracts are leading to closed existing-home sales. Other market frictions need to be addressed, such as assuring that proper comparables are used in appraisal valuations, and streamlining the short sales process.” The PHSI in the Northeast declined 2.0 percent to 67.5 in July but is 9.7 percent above July 2010. In the Midwest the index slipped 0.8 percent to 79.1 in July but is 18.8 percent above a year ago. Pending home sales in the South fell 4.8 percent to an index of 94.4 but are 9.5 percent higher than July 2010. In the West the index rose 3.6 percent to 110.8 in July and is 20.6 percent above a year ago.
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Tags: Data, Housing Market, Pending Home Sales, Statistics
Categories : Delinquencies, Economic Statistics, Home Sales, Home Values, Housing Market, Realtors, Underwriting
U.S. Housing Market Continues To “Struggle Mightily” As Litigation And Mortgage Delinquencies, Foreclosures Keep Downward Pressure On Prices (Video)
23 08 2011Nicolas Retsinas, director emeritus of the Joint Center for Housing Studies at Harvard University, discusses the U.S. housing market. Retsinas speaks with Erik Schatzker and Michael McKee on Bloomberg Television’s “InsideTrack.” (Source: Bloomberg)
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Tags: Foreclosures, Homeowners, Housing Market, Prices, Values, Videos
Categories : Bank-Owned, Defaults, Delinquencies, Federal Government, Financing, Home Values, Housing Market, Statistics, Videos
Short Sales Process Has Been Aided By 45-Day Requirement For Banks To Respond To Short Sale Requests; Sellers Eligible For Up To $3,000 In Aid (Video)
22 08 2011The short sale system has been simplified by the Obama Administration. The Treasury Department unveiled rules requiring banks to respond to homeowner short sale requests within 45 days. Short sale sellers are also eligible for up to $3,000 in aid to move. By some estimates up to 275,000 foreclosures could be prevented by these efforts.
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Tags: Banks, Foreclosures, Obama Administration, Selling Homes, Short Sales
Categories : Bank-Owned, Delinquencies, Economic Statistics, Federal Government, Foreclosures, Housing Market, Mortgage Industry, Purchases, Short Sales, Videos
Fannie Mae, Freddie Mac And FHA Now Own Half Of All Foreclosed Properties And Obama Administration Is Seeking Proposals On How Best To Shrink Inventory
10 08 2011
The Federal Housing Finance Agency, which regulates Fannie and Freddie, will issue the formal "request for information" with the administration to solicit proposals that shrink the glut of foreclosed properties weighing on the residential market.
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Tags: Bank-Owned, Fannie Mae, FHA, Foreclosures, Freddie Mac, HUD
Categories : Bank-Owned, Defaults, Delinquencies, Fannie Mae, Federal Government, FHA, Foreclosures, Freddie Mac, Housing Market, HUD, Statistics
Morgan Stanley Housing Report Sees Restrictive Lending Limiting Owner-Occupied Purchases, Rental Costs Rising As Home “Effective Home Ownership Rate” May Drop Below 60%
8 08 2011http://renovationlendinginstitute.com/
- There are about 2.2 million vacant homes available for sale in the U.S.
- 7.5 million homes are facing foreclosure that would add to the excess housing supply
- This will continue to cause home values to drop further
- The homeownership rate fell to 65.9 percent as of June 30, the lowest level in 13 years
- Home ownership peaked at 69.2 percent in June 2004, the Commerce Department reported July 29
- The effective homeownership rate would drop below 60 percent if delinquent buyers who are expected to lose their houses to foreclosure are removed from the total
- “Mortgage credit remains tight, making home purchases more difficult, while rental demand is accelerating, causing rents to rise quickly,”
- “If nothing is done soon, we will find ourselves in a situation where owner-occupied housing becomes unobtainable due to lack of credit, while rental housing becomes unobtainable due to rising costs.”
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Tags: Home Ownership, Home Value, Housing Market, Mortgage Loans, Renters, Reports
Categories : Delinquencies, Economic Statistics, Home Sales, Home Values, Housing Market, Mortgage Industry, Purchases, Short Sales, Statistics, Underwriting
Mortgage Industry Credit Reports: 2nd Quarter 2011 Survey Of Credit Risk Managers Expects Mortgage And Home Equity Delinquencies To Rise Along With Interest Rates In The Next Six Months
13 07 2011
CLICK ON "SECOND QUARTER 2011" TO VIEW SURVEY
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Tags: Credit Report, Delinquencies, FICO, Mortgage Loans, Risks
Categories : Credit Reports, Delinquencies, FICO's, Financing, Mortgage Industry, Statistics, Underwriting
Housing Market Update: Signs Of A “Stabilization In Home Prices” Can Be Seen In Latest Statistics But Homebuyers Should Still Look For Value
6 06 2011http://renovationlendinginstitute.com/
- Mortgage rates are at 4.55% for the week ending June 2, according to Freddie Mac, near 50-year lows
- The ratio of home prices to income is now 20.9% lower than the 15-year average through 2010
- They are 12.5% lower than the 1989-2004 average, making homes very affordable historically
- The current glut of homes has created a buyer’s market with about 15 million vacant homes in the U.S. last year
- This is 3.1 million more than normal
- But home prices might be entering a stabilization period
- Moody’s Analytics predicts that the number of distressed sales will begin to fall in 2013
- New home building is at a virtual standstill, so the supply overhang isn’t likely to get much worse
- “Household formation”—the number of new households each year—is on the rise, and could start reducing the housing glut in coming years
For more: http://online.wsj.com/article/SB10001424052702304563104576361522020024248.html
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Tags: Home Prices, Home Value, Housing Market, Statistics, Values
Categories : 203k, Defaults, Delinquencies, Economic Statistics, Foreclosures, Housing Market, Mortgage Industry, Purchases, Statistics, The 203k Guy
Home Prices Make New “Post Bubble” Lows As “Four-Year” Supply Of “Foreclosure Inventory” May Further Erode Home Values; Poor Condition Of REO’s Make Renovation Financing Critical
1 06 2011http://renovationlendinginstitute.com/
- S&P Case-Schiller reported that house prices have hit a new post-bubble low, down almost a third from their 2006 peak
- Pending home sales, according to the National Association of Realtors, fell by 27% in April 2011 from previous year
- This represented an 11.6 percent fall for the month
- Many buyers are swamped by negative equity in their current house and those who are not are reluctant to commit their own capital to a falling market
- Tighter underwriting standards would force current homeowners to pay existing lender to cover the equity shortfall and then pay a larger down-payment for the new house
- Continued sales of foreclosed homes is one of the prime forces driving prices lower
- Banks are more willing to cut prices to get a sale done than homeowners
- Many foreclosures are in poor condition, requiring further discounts to entice buyers
- The foreclosure system is overwhelmed, even despite a drop in new foreclosure starts and delinquencies
- Lawsuits over improper foreclosure procedures has slowed the process with banks deliberately holding properties back so as not to further erode prices
- At the current rate of sales it will take more than four years for banks to sell off their existing inventory of foreclosed or seriously delinquent houses
- More than 40 percent of delinquent mortgages have been delinquent for more than a year, according to Lender Processing Services
For more: http://blogs.reuters.com/jamessaft/2011/05/31/u-s-housings-sinking-feeling/
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Tags: Bank-Owned, Delinquencies, Foreclosures, Home Prices, Home Value, Statistics
Categories : Bank-Owned, Defaults, Delinquencies, Foreclosures, Homes, Housing Market, Mortgage Industry, Purchases, Realtors, Statistics
Combined REO Inventory Of Fannie Mae, Freddie Mac And FHA Declines Slightly To 287,184 Units At End Of March 2011 But Pace Of Foreclosuures AND REO Sales Is Accelerating
23 05 2011
The combined REO inventory for Fannie, Freddie and the FHA1 decreased to 287,184 at the end of Q1 2011, from a record 295,307 units at the end of Q4 as shown in the second graph. The pace of foreclosures is picking up, but so is the pace of REO sales. Freddie Mac noted REO sales were at record levels in Q1 where the pace of REO acquisitions will increase in the remainder of 2011, in part due to the resumption of foreclosure activity by servicers, as well as the transition of many seriously delinquent loans to REO. REO disposition reached record levels in 1Q 2011 with over 30,000 homes sold. Fannie Mae also sold a record 62,814 REO in Q1, up from 38,095 in Q1 2010 and 185,744 for all of 2010. So Fannie and Freddie sold over 90,000 REO in Q1, and their combined inventory only declined by 16,185. They are foreclosing at record levels, but they are finally selling REOs faster than they acquire them.
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Tags: Bank-Owned, Charts, Fannie Mae, FHA, FHA Foreclosures, Foreclosures, Freddie Mac, Graphs, REO, Statistics
Categories : Bank-Owned, Defaults, Delinquencies, Fannie Mae, FHA, Freddie Mac, HUD, Mortgage Industry, REO's
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