Today’s News Synopsis:
In a big news story, CoreLogic reported increasing home prices are bringing more and more underwater borrowers out of debt. Mortgage applications increased last week by 11.1% according to the Mortgage Bankers Association. The Federal Housing Administration Fiscal Solvency Act was passed by the House, a bill that would increase funding for the FHA.
In The News:
Los Angeles Times- “Home price gains drive drop in underwater mortgages” (9-12-12)
“New data show the number of underwater borrowers in the U.S. is continuing to decline as home prices improve, meaning one of the most stubborn roadblocks to the housing market’s recovery is slowly lifting.”
Mortgage Bankers Association – “Mortgage Applications Increase in Latest MBA Weekly Survey” (9-12-12)
“Mortgage applications increased 11.1 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending September 7, 2012. This week’s results include the customary upward adjustment for the Labor Day holiday.”
DS News – “Fannie Mae: Uneven Recovery to Impede Economic Expansion” (9-12-12)
“Though the Great Recession officially ended three years ago, weakened aggregate income is keeping Americans from climbing out of the income slump that resulted.”
Realty Trac – “Housing Crisis Over? Claims Barron’s — Again!” (9-12-12)
“For the third time since 2008, Barron’s has proclaimed a “housing recovery,” signaling that the housing market has hit “bottom.” Citing “unimpeachable signs,” writer Jonathan R. Laing predicted that the “rebound is for real” in a story titled ‘Happy at Last’.”
CNN Money – “Median income falls, but so does poverty” (9-12-12)
“Middle-class families continued to see their incomes decline in the aftermath of the Great Recession, according to U.S. Census Bureau data released Wednesday.”
Housing Wire – “Fannie Mae: Home construction jobs still years from recovery” (9-12-12)
“Residential construction workers took the hardest hit during the downturn, and a new study from Fannie Mae shows it will be years before a return to even normal levels.”
DS News – “House Passes Bill to Raise FHA Funding” (9-12-12)
“House lawmakers overcame election-year gridlock on Tuesday to punt their version of a bill that would shore up the Federal Housing Administration, whose embattled Mutual Mortgage Insurance Fund falls short of the capital required by law.”
Bloomberg – “U.S. Funds Have Pension Industry’s Lowest Real Estate Returns” (9-12-12)
“U.S. funds have had the lowest real estate returns in the global pensions industry because they rely on costly external managers and made risky bets before the financial crisis, according to a study by Maastricht University.”
Hard Money Loan Closed
Tujunga, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $103,000 on a 3 bedroom, 1 bathroom home appraised for $192,000.
Bruce Norris of The Norris Group will be at the InvestClub for Women in Los Angeles Tuesday, September 18, 2012.
Bruce Norris of The Norris Group will be at the InvestClub for Women in Orange County Wednesday, September 19, 2012.
Bruce Norris of The Norris Group will be at the Real Wealth Game Changers Expo in Costa Mesa Friday-Sunday, September 28-30, 2012.
Looking Back:
According to Bloomberg, the real estate property for several market chains, including Ruby Tuesday and Cracker Barrel, was shown to be worth more than the restaurants themselves. In the next several years, Bank of America plans on cutting 30,000 jobs. Housing Wire reported Standard & Poor’s parent company would no longer only be McGraw-Hill, but would be splitting into two smaller companies: McGraw-Hill Markets and McGraw-Hill Education.
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, Census Bureau, CoreLogic, fannie mae, federal housing administration, Federal Housing Administration Fiscal Solvency Act, mortgage applications, Mortgage Applications Survey, mortgage bankers association, negative equity, the norris group, underwater homeowner