Today’s News Synopsis:
RE/MAX reported that home sales for the month of August increased 18% on a year-over-year basis. Bloomberg also reported a 33% increase in default notices due to faster foreclosures. Unfortunately, Inman reported mortgage rates are continuing to decrease, resulting in an increase in loan requests. Witnesses at a hearing for the Senate Committee on Banking, Housing, and Urban Affairs urged for a larger refinace program to help homeowners underwater.
In The News:
“Home sales are experiencing the equivalent of an Indian Summer. August home sales are up year-on-year, as nationwide house prices continue to fall, according to Denver-based real estate agent network RE/MAX.”
Bloomberg - “Mortgage-Default Filings Increase By 33% in August” (9-15-11)
“Default notices sent to delinquent U.S. homeowners surged 33 percent in August from the previous month, a sign that lenders are speeding up the foreclosure process after almost a year of delays, RealtyTrac Inc. said.”
Inman - “Loan requests pick up as rates hit new lows” (9-15-11)
“Mortgage rates continued to inch downward into new record territory this week as worries about the European debt crisis continued to make Treasuries and mortgage-backed securities that fund most home loans look like safe bets to investors.”
Los Angeles Times - “Home loans rates drop again in Freddie Mac survey” (9-15-11)
“Fixed-rate mortgages continued their descent into record territory early this week, but now may be poised to move higher again.”
DS News - “Industry Calls for Expanded Refinance Program” (9-15-11)
“At a hearing before the Senate Committee on Banking, Housing, and Urban Affairs, witnesses urged Congress to help more underwater homeowners refinance their loans at current, record-low interest rates.”
CNN Money - “Unemployment filings at more than 2-month high” (9-15-11)
“First-time unemployment claims rose again last week, reflecting a job market that is still struggling to get on a consistent road to recovery.”
Housing Wire - “Alabama Supreme Court rules in favor of MERS” (9-15-11)
“The Alabama Supreme Court ruled Mortgage Electronic Registration Systems has standing to foreclose when it is nominee for the owner of an underlying debt and holder of the original mortgage note.”
Realtor Magazine - “NAR: Increased Lending, Short Sales Will Reduce REOs” (9-15-11)
“Improving access to affordable mortgage financing for qualified home buyers and investors and committing additional resources to loan modifications and short sales will help reduce current and future inventories of real estate owned (REO) properties held by government agencies, according to the National Association of REALTORS.”
Mortgage applications decreased 8.9% the week of September 15, according to the MBA. Fannie Mae predicted 2010 sales would total 7.4% less than sales in 2009. UCLA economists predicted the unemployment rate would remain above 10% until the end of 2012. GSEs had lost $226 billion since the end of 2007.
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