Today’s News Synopsis:
Mortgage rates decreased again to their lowest since May 2013 with 30-year rates at 3.89% and 15-year rates at 3.10%. 41,000 foreclosures were completed in October, down 26.4% year-over-year yet still at high levels. Underwater borrowers are also high at 4 million despite showing signs of decrease.
In The News:
Bloomberg - “Mortgage Rates in U.S. Decline to Lowest Since May 2013″ (12-4-14)
“Mortgage rates for 30-year U.S. loans fell for a fourth week, reducing borrowing costs to the lowest level in a year and a half. The average rate for a 30-year fixed mortgage was 3.89 percent, down from 3.97 percent last week, Freddie Mac said in a statement today. That was the lowest since May 2013. The average 15-year rate dropped to 3.10 percent from 3.17 percent, the McLean, Virginia-based mortgage-finance company said.”
Mortgage Bankers Association – “Independent Mortgage Bankers Profits Drop Slightly Despite Higher Volume in the Third Quarter of 2014″ (12-4-14)
“ Independent mortgage banks and mortgage subsidiaries of chartered banks reported a net gain of $897 on each loan they originated in the third quarter of 2014, down slightly from a reported gain of $954 per loan in the second quarter of 2014, the Mortgage Bankers Association (MBA) reported today in its Quarterly Mortgage Bankers Performance Report.”
Mortgage Professional America – “What are the top markets for 2015?” (12-4-14)
“The economic crash in 2008 hit housing hard, but the market has mostly rebounded. Some housing markets, however, have rebounded more than others.”
Housing Wire - “Moodys: Home sales and homebuilding will take off in 2015″ (12-4-14)
“Moody’s Investors Services is bullish on housing and homebuilding for 2015, as they say the year will start with near-record low inventories of completed and unsold new homes, and low inventories of existing homes.”
DS News – “Foreclosure Completion Numbers Remain High Despite Steep Decline in October” (12-4-14)
“Foreclosure completions declined significantly both month-over-month and year-over-year in October, but are still way above pre-recession levels, according to CoreLogic’s October 2014 National Foreclosure Report released on Thursday.”
OC Housing News – “Reflating the housing bubble hurts homebuilders” (12-4-14)
“Be careful what you ask for because you might get it. Everyone who makes a living in real estate wanted to see the end of the price decline and a rapid price increase to reflate the housing bubble.”
Mortgage Professional America – “Non-QM origination nearly doubles in third quarter” (12-4-14)
“The non-qualified mortgage (QM) share of originations nearly double in the third quarter to 2.6%, according to the National Association of Realtors (NAR) Fourth Quarter Survey of Mortgage Originators.”
DS News – “Despite Continuing Decline, Underwater Borrowers Still Total Four Million” (12-4-14)
“Despite the declining share of underwater mortgages as a percentage of all mortgages in the U.S., which has fallen below 8 percent, about four million borrowers are still underwater, according to Black Knight Financial Services’ October 2014 Mortgage Monitor released today.”
Hard Money Loan Closed
Riverside, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $245,000 on a 4 bedroom, 2.5 bathroom home appraised for $375,000.
Bruce Norris of The Norris Group will be speaking at SDCIA presenting How to create a $100,000 Payday Per Deal in 2015 on Tuesday, December 9.
Bruce Norris of The Norris Group will be speaking at LAREIA presenting How to create a $100,000 Payday Per Deal in 2015 on Wednesday, December 10.
A recent report from the Mortgage Bankers Association showed mortgage applications decreased 12.8% from the previous week. Sales of new homes increased by 25.4% to 444,000 units in October. Five major banks had not met compliance requirements laid down in the National Mortgage Settlement. These banks were Bank of America, Chase, Citigroup, ResCap, and Wells Fargo.
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.
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