Today’s News Synopsis:
According to MDA DataQuick, 84,568 Notices of Default were recorded in California during the 4th quarter of 2009. The MBA’s weekly survey shows that mortgage application volume decreased 10.9 percent from last week. The Commerce Department reports that new home sales decreased by 7.6 percent last month. The Federal Reserve claims it will stick to its plan to end the $1.25 trillion program of mortgage-debt purchases in March.
In The News:
CBIA – “Protect Your Model Homes” (1-27-10)
“Neighbors are the first and strongest line of defense in neighborhood security. If they can put a face to your model home, they will be much more likely to help protect you. Bring them gift baskets, shake hands and be respectful. Let them know that you’d appreciate if they’d call the police if they notice anyone at the model home after dark.”
DQNews – “Another Drop in California Mortgage Defaults” (1-27-10)
“A total of 84,568 Notices of Default (“NODs”) were recorded at county recorder offices during the October-to-December period. That was down 24.3 percent from 111,689 for the prior quarter, and up 12.4 percent from 75,230 in fourth-quarter 2008, according to San Diego-based MDA DataQuick.”
Mortgage Bankers Association – “Mortgage Applications Decrease in Latest MBA Weekly Survey” (1-27-09)
“The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending January 22, 2010. The Market Composite Index, a measure of mortgage loan application volume, decreased 10.9 percent on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 10.1 percent compared with the previous week and decreased 19.8 percent compared with the same week one year earlier.”
Housing Wire – “BofA First to Join HAMP Program for Second Liens” (1-27-10)
“Bank of America (BAC: 14.975 +1.39%) signed the first agreement to participate in the second-lien mortgage modification initiative under the Home Affordable Modification Program (HAMP), the bank confirmed Tuesday afternoon.”
Bloomberg – “U.S. May Retool Loan Program for Underwater Borrowers” (1-27-10)
“The changes would be at least the third lease on life for the program, which began in October 2008 during the Bush administration and has so far helped just 96 of the 400,000 homeowners originally targeted.”
Bloomberg – “U.S. Economy: Sales of New Homes Fall, Capping Worst Year Ever” (1-27-10)
“Sales of new homes in the U.S. unexpectedly dropped in December, capping the worst year on record and signaling the government’s tax-credit extension has yet to shore up demand. Purchases declined 7.6 percent to an annual pace of 342,000, marking the fourth decrease in the past five months, the Commerce Department said today in Washington. For all of 2009, sales declined 23 percent to 374,000, the lowest level since records began in 1963.”
Bloomberg – “S&P, Moody’s Win Dismissal of Claims Over Mortgage Securities” (1-27-10)
“Standard & Poor’s and Moody’s Corp. won dismissal of a lawsuit seeking to hold them responsible for defrauding investors who bought about $100 billion of mortgage- backed securities.”
Bloomberg – “Fed May Take Risk MBS Program End Won’t Hurt Housing” (1-27-10)
“The Federal Reserve may take a chance the housing market can stage a comeback without its support by announcing today it will stick to the plan to end a $1.25 trillion program of mortgage-debt purchases in March.”
Looking Back:
One year ago, MDA DataQuick reported that 75,230 default notices had been sent to California homeowners during the 4th quarter of 2008. The S&P Index showed that home prices fell 18.2 percent within two months. C.A.R. reported that Orange County home sales increased by 13.5 percent in one month.
Tags: bank, Bank of America, BofA, bruce norris, Commerce Department, DataQuick, default, Federal Reserve, hamp, MBA, MBS, MDA, modification, Moody's, mortgage, real estate, Standard & Poor