CoreLogic reported a decrease in foreclosures for the whole year in 2011 with 830,000 compared to 1.1 million in 2010.  According to Bloomberg, mishandled mortgages and foreclosures have cost banks as much as $72 billion.  In other news, the Mortgage Bankers Association reported a 7.5% increase in mortgage applications.

In The News:

DS News – “Report Reveals Number of Foreclosures Down From Last Year” (2-8-12)

“A foreclosure report released by CoreLogic Wednesday revealed that the number of homes in foreclosure is decreasing nationwide. The report included monthly data on foreclosures, foreclosure inventory, and 90 plus delinquency rates.”

Bloomberg – “Faulty Loans Top $72 Billion as Banks Seek Deal With Regulators: Mortgages” (2-8-12)

“Costs from faulty mortgages and shoddy foreclosures have topped $72 billion at the biggest U.S. banks as they near a settlement of a 50-state probe into the industry’s practices.”

NAHB – “Home Builders Applaud Menendez Bill to Restore the Flow of Credit for Home Building” (2-8-12)

“The National Association of Home Builders (NAHB) today commended Sen. Robert Menendez (D-N.J.) for introducing the Home Building Lending Improvement Act of 2012 (S. 2078), legislation to help restore the flow of credit for new housing production in order to create jobs, meet rising housing demand and bolster the economic expansion.”

Realty Times – “Mortgage Rates Continue Low Despite Upbeat Economic Data” (2-8-12)

“According to Freerateupdate.com’s weekly survey of wholesale and direct lenders, mortgage rates have remained the same for another week and through another stock market rally. Current 30 year fixed mortgage rates are at 3.500%, 15 year fixed mortgage rates are at 2.875% and 5/1 adjustable mortgage rates are at 2.250%, all available with 0.7 to 1% origination fee to well qualified borrowers.”

Mortgage Bankers Association – “Refinance Activity Increases as Rates Hit Survey Lows” (2-8-12)

“Mortgage applications increased 7.5 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending February 3, 201.”

Bloomberg – “Mortgage Bonds Face Eye of Storm as Refinancings Decline: Credit Market” (2-8-12)

Investors in U.S. government-backed mortgage bonds who benefited from a decline in early payoffs by homeowners are bracing for the fallout from a loosening of refinancing rules at Fannie Mae and Freddie Mac.”

Housing Wire – “Consumers take on more debt: Federal Reserve” (2-8-12)

“Consumer credit outstanding rose 9.3% in December to $2.49 trillion, compared to $2.47 trillion in November and $2.46 trillion in October, the Federal Reserve said.”

Bloomberg – “BofA Stalls Refinance Applications as Wells Fargo Is ‘Open for Business’” (2-8-12)

“Bank of America Corp., struggling to handle mortgage refinancing after a U.S. program boosted demand, is telling some customers to wait 90 days before starting an application, said two people with knowledge of the policy.”

Housing Wire – “Multifamily permits outpace construction in 2011“ (2-8-12)

“Multifamily permits surpassed the sector’s construction rate for the last three months of 2011, while single-family construction remained flat.”

Hard Money Loan Closed

Fontana, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $140,000 on a 4 bedroom, 2 bathroom home appraised for $245,000.

California Real Estate Investor Events:

The Norris Group posted a new event. The Norris Group will be holding their monthly REO Boot Camp, February 14, 2012.

Bruce Norris of The Norris Group will be at the 2012 Kick Off Brunch on February 18, 2012.

Looking Back:

Fannie Mae and the MBA predicted the housing market would begin a rebound that would last until 2013, and Zandi predicted 4% gdp growth through 2012. IAS claimed national home prices fell 0.8% during the 4th quarter of 2010.

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.

Sources:
Real Estate Outlook: Existing-Home Sales Rise Again
CoreLogic Records 4.7% Drop in Home Prices in 2011
ADP: Private sector adds 170,000 jobs in January
Jobless rate drops to lowest level in almost three years
Unemployment rate falls to 8.3%
Mortgage Applications Decrease in Latest MBA Weekly Survey
Mortgage Rates for 30-Year Fixed U.S. Loans Decline to Record-Low 3.87%
Housing construction spending hits 16-year low
Homeownership rate falls to 14-year low
Robo-Signing Settlement Update: Friday is Cutoff for States to Join
Foreclosures Draw Private Equity as U.S. Sells Homes
Report: Freddie Mac bets against homeowner refinancings
Obama administration details refinance plan for underwater borrowers
Senate joins House in effort to cut pay at Fannie Mae, Freddie Mac

Today’s News Synopsis:

This week’s video features a slide show of the news of the week in the world of real estate and other big news stories.  According to CoreLogic, prices for homes decreased 4.7% in 2011, making it the fifth year in a row home prices declined over the year.  Unemployment is at 8.3%, the lowest in three years with the addition of 243,000 new jobs added last month.

In The News:

DS News – “CoreLogic Records 4.7% Drop in Home Prices in 2011″ (2-2-12)

“Year-end data from CoreLogic shows home prices fell by 4.7 percent over 2011. It marks the fifth consecutive year the company has recorded an annual decline in residential property values.”

Housing Wire – “Unemployment rate falls to 8.3%” (2-3-12)

“The economy added 243,000 jobs in January and the unemployment rate fell to 8.3%, its lowest level since February 2009.  The Labor Department said large gains in professional and business services, leisure and hospitality, and manufacturing jobs drove the gains, which came in well above most analysts’ estimates. The rate in December was 8.5%.”

CNN Money - “Stealth jobs boom: 6 months, 2 million jobs” (2-3-12)

“Companies are saying the job market is getting better. Workers are saying it’s already kicked into high gear.  Friday’s jobs report showed a gain of 243,000 jobs. But a separate survey of households used to determine the unemployment rate shows much, much stronger job gains.”

Realty Times – “Average Mortgage Rates Ease Setting New Record Lows” (2-3-12)

“In Freddie Mac’s results of its Primary Mortgage Market Survey®, the average mortgage rates dropped to new all-time record lows as data on economic growth fell short of market projections. All products in the PMMS survey, except the 1-Year ARM, averaged new lows.”

Housing Wire – “Obama mortgage refinance plan accelerates equity rebuild” (2-3-12)

“One option under the most recent refinancing plan from the Obama administration would allow borrowers to not only surface from underwater but actually begin building equity in their home at a quicker pace.”

Realty Times – “Real Estate Drops But Second Home Market May See Increase” (2-3-12)

“Interest rates continue to remain low for mortgages and it looks as though the Federal Reserve will keep the rate at which banks lend to each other overnight low through 2014. The federal funds rate is expected to remain at zero to 1/4 percent for the next few years due to the depressed housing market and slow business investments.”

San Francisco Chronicle – “Mortgage rates for 30-year loans hit record low” (2-3-12)

“Rates for 30-year U.S. mortgages declined to the lowest level on record after the Obama administration announced measures to make it easier for homeowners to reduce their monthly payments by refinancing.”

Housing Wire – “Senate adds Fannie, Freddie bonus ban to Stock Act” (2-3-12)

“The Senate agreed to a resolution that would stop executive bonuses at Fannie Mae and Freddie Mac, attaching the measure to a larger congressional insider-trading bill.”

Bloomberg - “Goldman Sachs Mortgage-Backed Securities Suit Granted Class-Action Status” (2-3-12)

“A suit against Goldman Sachs Group Inc. (GS) may go forward as a class action on behalf of all investors in a $698 million mortgage-backed securities offering, a federal judge in Manhattan ruled.”

Hard Money Loan Closed

San Bernardino, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $72,000 on a 2 bedroom, 2 bathroom home appraised for $120,000.

California Real Estate Investor Events:

Bruce Norris of The Norris Group will be at the Advanced Investing Skills and Strategies 2.5 on February 4, 2012.

The Norris Group posted a new event. Bruce Norris of The Norris Group will be at the 2012 Kick Off Brunch on February 18, 2012.

Looking Back:

Freddie Mac reported the average rate for 30-year mortgages increased to 4.81%. The Labor Department said jobless claims declined the previous week. Freddie Mac funded $15 billion worth of multifamily transactions through its multifamily whole loan and bond guarantee business in 2010. The Treasury Department expected the government to hit the $14.29 trillion debt limit before June 2011.

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.

According to the most recent Mortgage Bankers Association Weekly Mortgage Applications Survey, mortgage applications increased 23.1% from last week.  NAHB reported builder confidence increased this month for the fourth month in a row, having increased 4 points to 25.  The FHFA is expected to be subpoenad regarding how principle reductions would effect Fannie Mae and Freddie Mac.

In The News:

Housing Wire – “Democrats push to subpoena FHFA over principal reductions” (1-18-12)

“Democrats on the House oversight committee are pushing to subpoena the Federal Housing Finance Agency to obtain an analysis looking at what effects principal reductions would have on Fannie Mae and Freddie Mac.”

NAHB - “Builder Confidence Rises Fourth Consecutive Time in January” (1-18-12)

“Builder confidence in the market for newly built, single-family homes continued to climb for a fourth consecutive month in January, rising four points to 25 on the NAHB/Wells Fargo Housing Market Index (HMI), released today. This is the highest level the index has attained since June of 2007.”

Bloomberg - “Fannie Fees Fail to Offset Record Low Lending Rates: Mortgage” (1-18-12)

“Ben S. Bernanke’s success in pushing mortgage rates to record lows is enabling Congress to fund last month’s payroll tax cut extension by siphoning money from Fannie Mae and Freddie Mac (FMCC), while homebuyers still benefit from the cheapest borrowing costs in history.”

Housing Wire - “Longer Forbearance Option Helps Temporarily Struggling Homeowners” (1-18-12)

“The BuildFax residential remodeling index in November rose for the 25th straight month from a year earlier, exceeding levels reached during the home-equity withdrawal boom of 2004 to 2006, analysts said.”

FINS - “Goldman Cut 2,400 Jobs, Plans More” (1-18-12)

“Even the most sought-after and prestigious investment bank in the business sometimes has to retool its strategy to stay profitable.  Goldman Sachs, which had originally planned to eliminate 1,000 positions in 2011, ended up shedding 2,400, according to its fourth quarter earnings statement.”

Mortgage Bankers Association - “Mortgage Applications Increase in Latest MBA Weekly Survey” (1-18-12)

“Mortgage applications increased 23.1 percent from one week earlier (last week’s results included an adjustment for New Years Day), according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending January 13, 2012.”

Housing Wire – “Home prices dip again in FNC index” (1-18-12)

“U.S. home prices fell 0.4% in November from October, the fourth-straight monthly decline according to FNC’s residential price index.”

DS News - “Clayton Holdins Closes Green River Capital Acquisition” (1-18-12)

“Clayton Holdings LLC announced Wednesday it has completed its acquisition of Green River Capital. No financial details were disclosed.”

Housing Wire - “Economic standstill stalls housing recovery: IHS report” (1-18-12)

“Wage stagnation and weak consumer confidence among young adults are two factors delaying a housing recovery, according to a new report from IHS Global Insight.”

CNN Money - “Foreclosure nightmares: 3 families fight for their homes” (1-18-12)

“With more than 200,000 households receiving foreclosure notices each month, there are bound to be a few mistakes. But for some unlucky homeowners, these blunders carry some serious consequences.”

Hard Money Loan Closed

Burbank, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $375,000 on a 4 bedroom, 2 bathroom home appraised for $617,000.

California Real Estate Investor Events:

Bruce Norris of The Norris Group will be speaking at the Women’s Council of Realtors today.

Bruce Norris of The Norris Group will be at the Investors Workshops and will be interviewing Shawn Watkins on January 25, 2012.

Looking Back:

19,528 new and resale houses and condos sold in Southern California the previous month, according to MDA DataQuick. LPS reported the average foreclosure in California and Nevada had been delinquent 461 days. December’s default rates for first and second mortgages were 2.93% and 1.74%.

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.

The prices of homes in the U.S. declines last November by 4.3% according to CoreLogic.  On a positive note, the sales of homes, both new and existing, increased for the year according to HUD.  The Mortgage Bankers Association reported a 3.7% decrease in mortgage applications.

In The News:

Housing Wire – “Home prices decline 4.3% in November: CoreLogic” (1-9-12)

“Home prices nationwide fell 4.3% year-over-year in the month of November, according to analytics firm CoreLogic (CLGX: 12.79 +1.35%) in its November Home Price Index.”

Bloomberg - “Countrywide Sued by U.K. Banks ‘Looking for Someone to Blame’ on Mortgage” (1-9-12)

“Suninder Sandha bought his luxury apartment in Coleorton Hall, a 19th century country mansion near Leicester in central England, using a 1.2 million-pound loan ($1.86 million) from Barclays Plc (BARC) in 2005.”

Realty Times - “Real Estate Outlook: Mortgage Applications Down” (1-9-12)

“Mortgage applications took their own vacation this holiday season, falling during the final two week span of the year.  They were down by 3.7 percent from the first half of the month according to the latest release from the Mortgage Bankers Association.”

Housing Wire – “Fed governor calls for new housing regulatory regime” (1-9-12)

“The number of Americans filing initial jobless claims declined last week, coming in lower than analysts’ estimates. The Labor Department said the seasonally adjusted figure of actual initial claims for the week ended Dec. 31 decreased to 372,000 from 387,000 the previous week, which was revised upward 6,000.”

NAHB - “List of Improving Housing Markets Nearly Doubles in January” (1-9-12)

“The number of housing markets showing measurable improvement nearly doubled in January with the addition of 40 new metros to the National Association of Home Builders/First American Improving Markets Index (IMI), released today.  The IMI now boasts 76 improving markets, up from 41 in December, with 31 states and the District of Columbia represented by at least one entry.”

Housing Wire - “December employment gains boost CRE demand as firms expand” (1-9-12)

“Jobs growth in 2011 increased full-time office employment by 327,000 jobs, giving the commercial real estate segment a slight boost, according to a new report from Marcus & Millichap Real Estate Services.”

DS News - “Fed: Enforcement Actions, Monetary Penalties Necessary for Servicers” (1-9-12)

“Standing before the Association of American Law Schools in Washington D.C., Sunday, Federal Reserve Governor Sarah Bloom Raskin discussed the importance of enforcement in the mortgage servicing industry and argued that monetary penalties are an important part of that enforcement.”

Bloomberg – “Fannie Rating Faces Cut as Lawmakers Siphon Funds, BofA Says” (1-9-12)

“The odds of credit rating downgrades on the bonds of Fannie Mae (FNMA) and Freddie Mac (FMCC) rose after lawmakers tapped the government-supported mortgage companies to pay for last month’s extension of a payroll tax cut, according to Bank of America Corp.”

Housing Wire – “Home sales rise as prices hit historic lows in December” (1-9-12)

“New and existing-home sales increased year-over-year in December, while home prices continued to plummet, hitting levels of affordability not experienced since 1971, the Obama Administration said Monday.”

Hard Money Loan Closed

Compton, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $110,000 on a 3 bedroom, 1 bathroom home appraised for $218,000.

California Real Estate Investor Events:

The Norris Group posted a new event. The Norris Group will be at the Real Estate Investor Rewind at CVREIA on January 10, 2011.

Bruce Norris will be speaking at the Apartment Owners Association-Discover Wealth Strategies for 2012 Los Angeles on January 12, 2012.

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.

The NAHB reported an increase in confidence for homebuilding for the third month in a row.  However, mortgage rates are down to a new low according to the latest survey released by the Mortgage Bankers Association.  The number of existing homes increased again last month by 4% according to NAR, and shadow inventory is continuing to remain steady.

In The News:

Mortgage Bankers Association – “Mortgage Rates Drop to Another 2011 Low in Latest MBA Weekly Survey” (12-21-11)

“Mortgage applications decreased 2.6 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending December 16, 2011.  The Market Composite Index, a measure of mortgage loan application volume, decreased 2.6 percent on a seasonally adjusted basis from one week earlier.”

Realty Times - “Builder Confidence Rises in December” (12-21-11)

“Builder confidence rose in December according to the National Association of Home Builders. This is the third straight month of improved confidence.  The National Association of Home Builders/Wells Fargo Housing Market Index (HMI) indicates this is the highest level the market has seen since May 2010.”

Housing Wire – “Shadow inventory remains unchanged at 1.6 million” (12-21-11)

“National home prices continue to be pressured by a stream of distressed properties that threaten to push prices even lower, a CoreLogic (CLGX: 12.53 -1.88%) report said Wednesday.“

DS News - “Existing-Home Sales Rise in November” (12-21-11)

“Existing-home sales rose again last month, according to data released Wednesday by the National Association of Realtors (NAR).  That assessment, however, is coming off of lower sales numbers than previously thought, reflecting revisions to NAR’s data going back to 2007.”

Bloomberg - “KB Home Fourth-Quarter Profit Beats Analysts’ Estimates on Higher Revenue” (12-21-11)

“KB Home (KBH), the Los Angeles-based homebuilder that targets first-time buyers, reported a quarterly profit that beat analysts’ estimates as sales and orders rose.”

CNN Money - “Unemployment benefits extension: What’s at stake” (12-21-11)

“The long-term unemployed are running out of time.  In 11 days, a provision will expire that could cause millions of jobless Americans to lose a critical lifeline next year.  At issue is the extension of emergency federal unemployment benefits, which allow the jobless to collect benefits for up to 99 weeks. Also at stake are the extension of a payroll tax cut, and the “doc fix,” which would prevent a scheduled pay cut to Medicare physicians.”

San Francisco Chronicle - “Bernanke Money Policy Seen Successful as Savers Become Consumers” (12-21-11)

“Federal Reserve Chairman Ben S. Bernanke finally may be catching a break: His  easy-money policies are showing signs of speeding up the economic rebound three  years after he cut interest rates to zero.”

Housing Wire – “Fannie nixes ‘ability to pay’ wall to HARP refinancing” (12-21-11)

“Lenders are no longer required to determine a borrower’s ability to repay a loan when underwriting mortgages for inclusion in Fannie Mae’s HARP 2.0 refinancing channel.”

The Wall Street Journal - “Demand for Rentals Drives Big Rise in Home Building” (12-21-11)

“Residential construction surged in November, sparking cautious hope that the U.S. housing market is gaining traction.  Housing starts hit a seasonally adjusted annual rate of 685,000 units, the highest level in 19 months, the Commerce Department said Tuesday.”

Hard Money Loan Closed

Riverside, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $70,000 on a 3 bedroom, 1.5 bathroom home appraised for $117,000.

California Real Estate Investor Events:

The Norris Group posted a new event. Bruce Norris will be speaking at the Real Estate Rewind at IRCA Los Angeles on January 3, 2012.

The Norris Group will be at the Real Estate Investor Rewind at CVREIA on January 10, 2011.

Looking Back:

Modifications to foreclosures on Freddie Mac and Fannie Mae mortgages increased more than twice as much in the third quarter of 2010, according to Housing Wire.  Shaun Donovan said he and Secretary of Energy Steven Chu were discussing plans of creating an energy scoring system for houses.  Standard and Poor’s reported levels of securities backed by mortgages were the slowest they had been since 2007, both for commercial and residential property.  NAHB stated that the driving force for the housing market were actually the smaller businesses.  CBIA announced that construction on new homes increased 21% in December 2010.

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.

In a big news story, mortgage applications are up 4.1% according to the most recent MBA Weekly Survey.  Home sales in Southern California increased last month from October and from the same time a year ago according to Housing Wire.  In other news, mortgage fraud is the highest in California despite mortgage activity being down in the third quarter.

In The News:

Mortgage Bankers Association - “Refinance Applications Increase as Rates Drop to 2011 Lows in Latest MBA Weekly Survey” (12-14-11)

“Mortgage applications increased 4.1 percent from one week earlier, driven by a surge in refinance applications, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending December 9, 2011.”

Housing Wire - “California ranks No. 1 for mortgage fraud” (12-14-11)

“Mortgage fraud activity slowed overall in the third quarter, but California ranks first in home loan fraud, with the state seeing as much as $204.2 million in losses on deceptive mortgage activity.”

Los Angeles Times - “New signs of trouble for Goldman Sachs” (12-14-11)

“Goldman Sachs, the once-mighty king of Wall Street, appears to be losing employees, market share and the confidence of investors.  One of the most outspoken Wall Street analysts. Richard Bove, announced this week that he is cutting his outlook for Goldman’s fourth-quarter earnings by 66%, estimating that the bank will earn 79 cents a share.”

San Francisco Chronicle - “U.S. Stock-Index Futures Rise; S&P 500 May Snap Two-Day Decline” (12-14-11)

“U.S. stock-index futures rose, indicating the Standard & Poor’s 500 Index will snap a two-day decline, amid mounting optimism that the world’s largest economy will remain insulated from the euro-area debt crisis.”

Housing Wire - “Foreign homebuyers clicking on depressed US housing markets” (12-14-11)

“Foreigners looking to purchase homes in the U.S. are increasing their online search activity for bargains, as sliding home prices continue to attract investors from around the globe — especially Canada.”

Hard Money Loan Closed

Rancho Cucamonga, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $190,000 on a 3 bedroom, 2 bathroom home appraised for $315,000.

In The News:

Bloomberg - “Morgan Stanley Real-Estate Fund Said Likely to Win New Deadline” (12-14-11)

“Morgan Stanley’s (MS) $4.7 billion real-estate fund, known as MSREF VII, will probably win approval to extend the deadline for finding new investments into 2013, aperson familiar with the discussions said.”

Housing Wire - “SoCal home sales rise on declining prices” (12-14-11)

“The number of homes sold in Southern California rose modestly last month from both October and a year earlier as investors and first-time buyers targeted homes priced below $400,000.”

Bloomberg - “San Francisco Bay Area Home Prices Fall as Distressed-Property Sales Gain” (12-14-11)

“San Francisco Bay Area home pricesfell 4.3 percent last month from a year earlier as distressed properties made up a greater share of sales, DataQuick said.”

California Real Estate Investor Events:

The Norris Group posted a new event. Bruce Norris will be speaking at the Real Estate Rewind at IRCA Los Angeles on January 3, 2012.

The Norris Group will be at the Real Estate Investor Rewind at CVREIA on January 10, 2011.

Looking Back:

Robo-signing took an effect on foreclosures in the Western states, which decreased almost 40%.  Oustanding debt on commercial/mulitfamily mortgages decreased 1.3% in the third quarter of 2010.  In the first half of 2010, suspicious activity reports for mortgage fraud increased 7% from one earlier.

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 event 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 200 podcasts in our free investor radio archive.

DS News reported optimism in the housing market as housing prices are showing signs of reaching their lowest and stabilizing despite continuing price declines.  According to Housing Wire, a settlement was reached between Morgan Stanley and MBIA regarding credit default swaps.  In addition, the Realty Times reported housing will play a big part in the upcoming 2012 election.

In The News:

Realty Times – “Housing to Be Key Factor in 2012 Election” (12-13-11)

“HouseLogic, the consumer website for the National Association of Realtors® has released the results from their latest survey. They found that when it comes to the upcoming 2012 election, jobs and housing are at the forefront of voters’ minds.”

Housing Wire - “Morgan Stanley and MBIA reach settlement over CDS” (12-13-11)

“Morgan Stanley (MS: 15.74 +2.34%) said Tuesday that it has reached a comprehensive settlement with MBIA (MBI: 11.52 +1.05%) over credit default swaps that better positions the firm for Basel III compliance by resolving outstanding legacy exposures.”

DS News - “Prices Decline Slightly But Show Signs of Stabilizing” (12-13-11)

“While home values are continuing to decline, they are beginning to stabilize as the market nears the bottom, according to the Zillow Real Estate Market Report, released Tuesday.”

Bloomberg - “Mortgage Bonds Rally as Fed Backstop Seen” (12-13-11)

“Relative yields on mortgage-backed securities that guide new loan rates fell to the lowest in five months as investors wager the Federal Reserve is on standby to expand its holdings if the U.S. economy or Europe’s sovereign debt crisis worsens.”

San Francisco Chronicle - “Real estate recovery likely to be slow” (12-13-11)

“Fair warning to U.S. real estate  players: Resign yourselves to “a slowing grind-it-out recovery” in 2012, as  “enduring economic doldrums” continue to weigh heavily on the market.”

Hard Money Loan Closed

Fontana, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $140,000 on a 4 bedroom, 2 bathroom home appraised for $245,000.

In The News:

Housing Wire – “Optimism rises among small businesses” (12-13-11)

“Small businesses grew more confident again in November, though optimism remains well below the pre-recession average.  The National Federation of Independent Business reported an increase to 92 in its optimism index, up from 90.8 in October. That’s still lower than the 100 score the index averaged before 2008.”

DS News – “Attorneys General Expect to Reach Settlement Before Christmas” (12-13-11)

“The state attorneys general and the nation’s five largest mortgage servicers have been supposedly close to a settlement for quite some time. The latest estimate, according to the Des Moines Register is that they are likely to reach a settlement before Christmas.”

Wall Street Journal - “Home Bargains Abound, But Willing Lenders Are Rare Breed” (12-13-11)

“Faced with finicky lenders, would-be home buyers are increasingly turning to Dad, Grandma or rich Uncle Barton—even perfect strangers they met online. While these solutions are understandable, given the abundant bargains on the market, they also present significant risks.”

California Real Estate Investor Events:

The Norris Group posted a new event. Bruce Norris will be speaking at the Real Estate Rewind at IRCA Los Angeles on January 3, 2012.

The Norris Group will be at the Real Estate Investor Rewind at CVREIA on January 10, 2011.

Looking Back:

22.5% of all mortgages were underwater in the 3rd quarter of 2010, according to CoreLogic. The FHA extended deadlines for condo projects seeking to renew their mortgage insurance. Altera Real Estate reported demand for O.C. homes decreased by 12%.

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 event 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 200 podcasts in our free investor radio archive.

In a big news story, home prices are down from a year ago by 3.9%.  However, according to the U.S. Commerce Department home sales were reported to have risen 1.3% in October, the best results for new homes since May.  Unfortunately, the Los Angeles Times reported that over 20% of all homeowners in the U.S. are underwater.  DS News reported an increase in fraudulent claims for unemployment and insurance.

In The News:

Housing Wire - “SEC, Citi fight CDO settlement rejection” (11-29-11)

“The Securities and Exchange Commission and Citigroup (C: 25.24 +0.76%) pushed back after a federal judge rejected their settlement Monday over losses tied to an allegedly misleading collateralized-debt obligation.”

DS News - “Case-Shiller Puts Home Prices 3.9% Below Last Year” (11-29-11)

“The national reading of Standard & Poor’s closely watched Case-Shiller index registered a 3.9 percent decline during the third quarter of this year when compared to the same period in 2010.”

Realtor Magazine - “New-Home Sales Post Biggest Gains in Months” (11-29-11)

“New-home sales for single-family homes rose 1.3 percent in October, marking the best pace for new-home sales activity since this May, the U.S. Commerce Department reports.  Following the sector’s worst year for new-home activity on record last year, several recent reports are suggesting a pick-up in new construction.”

San Francisco Chronicle - “Jump in U.S. Consumer Confidence Exceeds Forecasts: Economy” (11-29-11)

“Consumer confidence snapped back more than forecast in November as Americans  turned less pessimistic on the outlook for jobs and wages, one reason why  spending has jumped at the start of the holiday season.”

Los Angeles Times - “One in five American homes ‘underwater’” (11-29-11)

“More than one in five American home mortgages are underwater.  An estimated 10.7-million households, or 22.1% of all homes with mortgages, had more debt on the properties than they were worth in the third quarter, according to Santa Ana research firm CoreLogic. This is a slight decline from the 10.9 million properties that were underwater in the second quarter.”

Housing Wire – “Bleak outlook for manufactured housing as secondary market shuns sector” (11-29-11)

“Firms that build, sell and finance manufactured homes blame regulations and a lack of secondary market support for plummeting demand within their space.”

Bloomberg - “Housing Recovery Hinges on New Households” (11-29-11)

“U.S. home prices won’t recover until the economy improves enough to boost the number of households and clear an oversupply of properties, said economist Karl Case, co-founder of the S&P/Case-Shiller home price index.”

DS News - “Employment and Income Fraud on the Rise” (11-29-11)

“While incidences of mortgage fraud have remained steady over the past six quarters overall, submissions of fraudulent employment/income information are on the rise, according to the latest Mortgage Fraud Risk Index by Interthinx. ”

Looking Back:

The serious delinquency rate on Fannie Mae’s single-family mortgages decreased to 4.56% in September 2010. The average loan in foreclosure had been in foreclosure for 492 days. Fannie Mae and Freddie Mac were encouraging real estate agents to continue selling foreclosures. According to Real Capital, the commercial mortgage default rate fell to 4.36 percent in November 2010.

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 event 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 200 podcasts in our free investor radio archive.

Prices of homes have declined across the nation 28.3% since June 2006, according to the latest LPS home price index.  According to Housing Wire, more people were hired in the mortgage industry than were laid off in the third quarter.  According to Inman, NAR recently admitted overestimating the number of homes sold.

In The News:

DS News - “LPS: Prices Are 28.3% Below Peak in Mid-2006″ (11-14-11)

“National home prices have been on the decline since June 2006 with a few bursts of increases, which Lender Processing Services  (LPS) attributes to seasonal trends. Overall, prices have declined 28.3 percent since their peak in June 2006, according to LPS’ home price index.”

Realty Times - “Real Estate Outlook: Wealth Gap Related to Housing” (11-14-11)

“Housing has always been linked to wealth in one fashion or another, but now the latest indicators from the Pew Research Center show that housing has been one of the prime reasons for ‘divergent wealth trends’.”

Bloomberg - “Home Prices in U.S. May Droop 8%, Pimco’s Simon Says: Tom Keene” (11-14-11)

“U.S. home prices will probably decline an additional 6 percent to 8 percent before bottoming, Pacific Investment Management Co.’s Scott Simon said.”

O.C. Register - “Pending housing deals up in October” (11-14-11)

“The latest Orange County home inventory report from Steve Thomas of ReportsOnHousing.com says that as of Nov. 10  …’Demand, the number of new pending sales over the prior month, continues to bounce around the 2,900 level since mid-September. In the past two weeks it increased by 60 homes and now totals 2,914. … There are 244 additional pending sales this year compared to last year at this time, 8% stronger. This will of course translate to an increase in year over year sales at the end of the year’.”

Realtor Magazine - “Meausured Improvement in Commercial Sectors Expected” (11-14-11)

“Despite sluggish economic growth and continuing concerns over high unemployment and the struggling housing market, the modest but steady improvement in commercial real estate in 2011 is expected to continue into 2012 and 2013, analysts told REALTORS® yesterday.”

Housing Wire - “Mortgage hirings outpace layoffs in 3Q” (11-14-11)

“Hirings in the mortgage industry outpaced layoffs in the third quarter, according to a new report compiled by MortgageDaily.  Total layoffs for the period hit 2,502, compared to 5,404 layoffs in the second quarter. ”

Inman - “NAR acknowledges overestimating home sales” (11-14-11)

“Potential problems with NAR’s benchmarking methodology were first reported by the blog Calculated Risk in January, and further detailed in a report by analysts with CoreLogic that concluded NAR may have overstated home sales by 15 to 20 percent.”

Housing Wire – “BofA mired in billions of mortgage litigation” (11-14-11)

“Bank of America (BAC: 6.025 -2.98%) more than tripled its litigation expenses resolving mortgage problems from Merrill Lynch and Countrywide Financial Corp. in 2011, but they appear to be making at least some progress.”

DS News - “California Expands Its Homeowner Relief Program” (11-14-11)

“California’s Keep Your Home California program is relaxing some of its eligibility restrictions and increasing the amount of assistance it provides struggling homeowners.”

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 event 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 200 podcasts in our free investor radio archive.

According to the Realty Times, pending home sales decreased 4.6% last September from the prior month.  CoreLogic reported home prices decreased  1.1% in September for the second month in a row.  Over the past 6 months, foreclosure starts have been increasing steadily for private-label residential mortgage-backed securities.

In The News:

Housing Wire - “CoreLogic home price index down 1.1% for September” (11-7-11)

“Housing prices dipped for the second straight month in September, falling 1.1% from the prior month, according to the CoreLogic (CLGX: 13.88 -1.28%) home price index.”

DS News - “Regulators Seize Lenders in Nebraska and Utah” (11-7-11)

“State and federal regulators have closed the doors on two more community-based lenders in Nebraska and Utah, bringing this year’s tally of failed banks to 87. Mid City Bank, Inc. in Omaha has been closed. It operated five branch locations, with $105.5 million in deposits and assets totaling $106.1 million ”

Realty Times - “Real Estate Outlook: Pending Sales Decline” (11-7-11)

“Pending homes sale declined in September, down 4.6 percent from the month prior. Lawrence Yun, NAR chief economist, said the housing market is being excessively constrained. “A combination of weak consumer confidence and continuing tight lending criteria held back home buyers, even though the private sector added nearly 2 million net new jobs in the past 12 months,” he said.”

NAHB - “Improving Markets Index Expands to 30 Metros in November” (11-7-11)

“The number of improving housing markets continued to expand for a third consecutive month in November, rising from 23 to 30 on the latest National Association of Home Builders/First American Improving Markets Index (IMI), released today.  The list dropped two metros and added nine new ones – Cheyenne, Wyo.; Corpus Christi, Tex.; Davenport, Iowa.; Fort Collins, Colo.; Hinesville, Ga.; Lima, Ohio; Monroe, La.; Tyler, Tex.; and Williamsport, Pa”

Housing Wire – “October bank failures tied to CRE exposure, further risks remain” (11-7-11)

“The 11 U.S. banks that failed in October cratered under the weight of commercial real estate exposure, Trepp LLC said Monday.”

DS News - “Foreclosure Starts Rise as Servicers Process Backlog of Delinquent Loans” (11-7-11)

“Foreclosure starts among private-label residential mortgage-backed securities (RMBS) have been rising toward historic averages over the past six months, which will lead to an influx of distressed properties bringing downward pressure to the housing market, according to recent RMBS Performance Metrics from Fitch Ratings.”

Housing Wire – “White House, agencies cut red-tape for some multifamily housing developers” (11-7-11)

“Government agencies are peeling back a few regulatory requirements in several states to make it easier for developers of federally subsidized multifamily housing to develop properties without having to pay for redundant inspections
and other repetitive guidelines.”

Realtor Magazine - “Hedge Funds Eye Troubled Home Loans” (11-7-11)

“As U.S. banks increase efforts to shed troubled residential mortgage assets, more hedge funds are considering opportunities to buy pools of whole home loans at discount prices.”

Los Angeles Times - “Use of ‘target-date’ funds grows in 401(k) plans” (11-7-11)

“According to a new study, Americans are increasing their use of so-called target-date mutual funds in 401(k) plans, and most people report being satisfied with them.  Among active and knowledgeable investors, use of target funds has nearly doubled to 41% today from 22% in 2005, according to the survey of more than 1,000 people by investment firm AllianceBernstein.”

The Washington Post - “Census data show wealt of older Americans is 47 times that of young adults, widest gap ever” (11-7-11)

“The wealth gap between younger and older Americans has stretched to the widest on record, worsened by a prolonged economic downturn that has wiped out job opportunities for young adults and saddled them with housing and college debt.”

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 event 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.