Today’s News Synopsis:
Mortgage rates decreased for the first time after five weeks; 30-year rates are now at 3.59% and 15-year are at 2.86%. Unemployment claims remained at 374,000 for the week ended August 25, which is higher than economists had expected. The Bureau of Economic Analysis reported consumer spending increased more than income in July. Consumer spending increased by $46 billion, while personal income increased by only $42.3 billion.
In The News:
DS News – “Foreclosure-Related Sales Prices Up as Inventory Shrinks: RealtyTrac ” (8-30-12)
“Prices went up for foreclosure-related sales on a quarterly and yearly basis, with the annual increase marking the first rise in two years, according to RealtyTrac’s Q2 foreclosure sales report.”
Bloomberg – “Distressed Home Prices Jump With Inventory Shrinking” (8-30-12)
“Demand for distressed properties is driving up prices for the first time in two years as investors from Blackstone Group LP (BX) to Colony Capital LLC chase shrinking inventory.”
Mortgage Bankers Association – “Commercial and Multifamily Mortgage Delinquency Rates Continue to Drop for Banks, Rise for CMBS in Second Quarter of 2012″ (8-30-12)
“Commercial and multifamily mortgage delinquency rates continued to drop for banks and rise for commercial mortgage backed securities (CMBS) during the second quarter of 2012. Delinquency rates also declined for Fannie Mae during the second quarter, and increased by 0.01 percentage points for life companies and 0.04 percentage points for Freddie Mac according to the Mortgage Bankers Association’s (MBA) Commercial/Multifamily Delinquency Report.”
Realty Times – “Unhappy Sellers, Dissatisfied Buyers Lower Ratings Boom On Real Estate Companies” (8-30-12)
“Sellers don’t like the prices they are forced to tag onto their listings, buyers think the condition of homes for sale stink, and real estate companies are left holding the bag.”
Bloomberg- “U.S. Mortgage Rates Decline for First Time in Five Weeks” (8-30-12)
“U.S. mortgages rates fell for the first time in five weeks, lowering borrowing costs for homebuyers amid signs of a real estate recovery.”
DS News – “Initial Jobless Claims Higher Than Expected” (8-30-12)
“First-time claims for unemployment were unchanged at 374,000 for the week ended August 25, the Labor Department reported Thursday after revising upward by 2,000 the prior week’s originally reported 372,000 claims.”
Inman – “ZipRealty partners with mortgage lender” (8-30-12)
“Loan officers with mortgage bank New American Mortgage will be present in all ZipRealty company-owned offices in 20 markets around the country under the terms of a strategic alliance between the two companies announced today.”
DS News – “Spending Growth Tops Income in July” (8-30-12)
“Personal income rose $42.3 billion in July, but consumer spending increased $46.0 billion, the Bureau of Economic Analysis reported Thursday.”
Mortgage Bankers Association- “MBA: Second Quarter Independent Mortgage Banker Profits Increase” (8-30-12)
“Independent mortgage banks and mortgage subsidiaries of chartered banks made an average profit of $2,152 on each loan they originated in the second quarter of 2012, up from $1,654 per loan in the first quarter, the Mortgage Bankers Association (MBA) reported today.”
Hard Money Loan Closed
Apple Valley, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $54,000 on a 3 bedroom, 2 bathroom home appraised for $91,000.
Bruce Norris of The Norris Group will be at the Los Angeles Commercial Real Estate Forum today, August 30, 2012.
Bruce Norris of The Norris Group will be at the Real Estate Investment Expo in Santa Clara Saturday, September 8, 2012.
Bruce Norris of The Norris Group will be at the Los Angeles Real Estate Investors Association on Tuesday, September 11, 2012.
Looking Back:
CoreLogic was in talks to possibly sell the company in order to improve their shareholders’ value and position. Bloomberg reported signs of a possible market recovery after seeing housing prices decrease at a slower pace from the previous year. According to the latest Case-Shiller Index, home prices showed an improvement in the second quarter of 2011 compared to the first, but had still not improved from the prior year.
For more information about The Norris Group’s California hard money loans or our California Trust Deed investments, visit the website or call our office at 951-780-5856 for more information. For upcoming California real estate investor training and events, visit The Norris Group website and our California investor calendar. You’ll also find our award-winning real estate radio show on KTIE 590am at 6pm on Saturdays or you can listen to over 170 podcasts in our free investor radio archive.
About Bruce Norris
Bruce Norris is an active investor, hard money lender, and real estate educator with over 30 years experience. Bruce has been involved in over 2,000 real estate transactions as a buyer, seller, builder and money partner.
Tags: bruce norris, Bureau of Economic Analysis, CMBS, Commercial/Multifamily Delinquency Report, distressed homes, fannie mae, foreclosure, freddie mac, labor department, mortgage banker profits, mortgage bankers association, New American Mortgage, RealtyTrac, the norris group, ZipRealty