The Norris Group Blog

California Real Estate Headline Roundup

Posts Tagged ‘delinquency’

« Older Entries
Newer Entries »

The Norris Group Real Estate News Roundup 2/17/11

Thursday, February 17th, 2011

Today’s News Synopsis:

4,966 new and resale houses and condos sold in the Bay Area, according to MDA DataQuick. Statistics from the MBA shows the delinquency rate for mortgages decreased to 8.22% in the 4th quarter of 2010. The Labor Department said jobless claims increased 6.5% last week.

In The News:

Mortgage Bankers Association – “Short-term Delinquencies Fall to Pre-Recession Levels, Loans in Foreclosure Tie All-Time Record in Latest MBA National Delinquency Survey” (2-17-11)

“The delinquency rate for mortgage loans on one-to-four-unit residential properties decreased to a seasonally adjusted rate of 8.22 percent of all loans outstanding as of the end of the fourth quarter of 2010″

MDA DataQuick – “Slow 2011 Start for Bay Area Housing Market” (2-17-11)

“A total of 4,966 new and resale houses and condos sold in the nine-county Bay Area last month. That was down 30.8 percent from 7,178 in December and up 2.3 percent from 4,853 in January 2010, according to San Diego-based DataQuick Information Systems.”

Contra Costa Times – “The average rate on a 30-year fixed mortgage slipped to 5 percent from 5.05 percent last week, Freddie Mac said Thursday.” (2-17-11)

“The average rate on a 30-year fixed mortgage slipped to 5 percent from 5.05 percent last week, Freddie Mac said Thursday.”

Wall Street Journal – “Banks Push Home Buyers to Put Down More Cash” (2-17-11)

“The median down payment in nine major U.S. cities rose to 22% last year on properties purchased through conventional mortgages, according to an analysis for The Wall Street Journal by real-estate portal Zillow.com. That percentage doubled in three years and represents the highest median down payment since the data were first tracked in 1997.”

Housing Wire – “JPMorgan Chase offers special relief for military mortgages” (2-17-11)

“JPMorgan Chase (JPM: 47.93 -0.02%) is starting a variety of mortgage assistance programs for military personnel, and pledged to not foreclose on any service member on active duty.”

Housing Wire – “MERS to members: Don’t foreclose in our name” (2-17-11)

“Mortgage Electronic Registration Systems, or MERS, told its members Wednesday not to foreclose on residential mortgages in its name.”

Housing Wire – “Jobless claims rose 6.5% to 410,000 last week” (2-17-11)

“The number of new jobless claims rose about 6.5% last week matching most analysts’ estimates and climbing back over 400,000. The Labor Department said the seasonally adjusted figure of actual initial claims for the week ended Feb. 12 increased by 25,000 to 410,000.”

Realty Times – “Homeownership’s Amazing Benefits” (2-17-11)

“Homeowners are happier and healthier and enjoy a greater feeling of control over their lives. Most homeowners enjoy stable housing costs—a fixed rate mortgage payment might not change for 15 or 30 years while rent typically increases 3% a year.”

Realty Times - “Explaining Credit Scores” (2-17-11)

“Think of it this way. You have two lines of credit open with credit limits of $5,000 each. That means you are able to use a total of $10,000. If you have a $2,000 balance on one card and $3,000 on the other, you are using 50 percent of your available credit. The smaller percentage you are using the better. Fifty-percent is very high.”

Looking Back:

One year ago, CBIA announced that housing affordability had decreased in 22 of California’s 28 metropolitan areas. The Commerce Department reported that housing and apartment construction increased by 2.8 percent in a month. There was a 3.5 month supply of housing inventory in the San Francisco market. A survey showed that large investment companies were spending more on REIT investments.

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.

Tags: , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

The Norris Group Real Estate News Roundup 2/4/11

Friday, February 4th, 2011

Resources:

Yahoo! and Zillow go live with largest online real estate network

Failure to Raise U.S. Debt Ceiling would be Dangerous, Top Obama Aid Says

Costs for home mortgages rise as Fannie, Freddie hike fees 

Mortgage modifications increase 42% in 2010: Hope Now 

DBRS finds half of mortgage modifications redefault

Senate committee considers foreclosure mediation program

Today’s News Synopsis:

The Labor Department reports the economy added 36,000 jobs in January. The Congressional Oversight Panel expects future losses on commercial real estate loans to cost between $200 billion and $300 billion. Orange County construction unemployment increased to 22.5%.

In The News:

Washington Post – “Housing finance changes likely to mean less government backing for some buyers” (2-4-11)

“The Obama administration is likely to recommend reducing the size of mortgages eligible for government backing, according to current and former officials”

Housing Wire – “Nonfarm payrolls add 36,000 jobs, unemployment down to 9%” (2-4-11)

“The Labor Department’s Bureau of Labor Statistics said the economy added 36,000 jobs during the first month of 2011 with gains in manufacturing and retail. Employment levels fell in the construction, transportation and warehousing sectors with little change in most other industries.”

Housing Wire – “Multifamily delinquency rate in CMBS climbs to 17.4%, highest ever recorded by Fitch” (2-4-11)

“The delinquency rate in the multifamily sector rose to 17.4% in January, up from 15.63% the prior month and at the highest level since Fitch began tracking CMBS delinquencies.”

Housing Wire – “Easing tax burdens on investors could stem CRE losses: COP” (2-4-11)

“Future losses on commercial real estate loans could cost between $200 billion and $300 billion, but easing certain tax levies against investors could alleviate the problem, according to the Congressional Oversight Panel.”

Housing Wire – “Hudson & Marshall to auction more than 700 homes in Southwest” (2-4-11)

“Several hundreds of real estate-owned properties in the Southwest United States are up for auction and, according to auction house Hudson & Marshall, that volume will be meeting equal demand. The firm is auctioning off more than 700 homes in Arizona, California and Nevada over the next two weeks.”

Housing Wire – “FDIC, SEC both name new general counsel” (2-4-11)

“The Federal Deposit Insurance Corp. named Michael Krimminger FDIC general counsel on Friday.”

Bloomberg - “U.S. Commercial Property Recovery Spares Economy” (2-4-11)

“Prices of commercial properties sold by institutional investors surged 19 percent in 2010, the second-biggest gain on record, according to an index developed by the MIT Center for Real Estate. Investments in office properties, the largest part of the market, more than doubled last year to $41.6 billion, according to Real Capital Analytics Inc., which tracks commercial property sales globally.”

Orange County Register – “Construction umeployment hits 22.5%” (2-4-11)

“Construction unemployment jumped to 22.5 percent. December’s construction unemployment was 20.7 percent.”

Orange County Register – “Bottom near for biggest O.C. properties” (2-4-11)

“I’m not quite sure where the apartment recession is. It’s definitely down in rents. There’s no doubt about that. (But) people are buying Southern California apartments like they’ll never be built again. And some of the smartest people I know — Donald Bren, the Lewis family — are building like mad.”

Looking Back:

One year ago, Marcus & Millichap annual apartment report placed San Diego in second place for stability and possible growth in 2010. Statistics from MDA DataQuick showed that 18,621 California homes sold for over 1 million dollars in 2009. Freddie Mac reported the rate for 30-year fixed rate mortgages increased to 5.01 percent. PMI predicted that home values were near to the bottom.

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.

Tags: , , , , , , , , , , , , , , , , , , , ,
Posted in News, Video Blog | No Comments »

The Norris Group Real Estate News Roundup 12/17/10

Friday, December 17th, 2010

Resources:
California June Home Sales
Bay Area November Home Sales, Median Price Down from a Year Ago
CoreLogic HPI: Prices Decline for Third Straight Month
Housing Starts Rise 3.9 Percent in November
Lennar closes $300M distress fund
Geithner: National foreclosure moratorium would hurt house prices
STRATEGIC DEFAULT ON FIRST AND SECOND LIEN MORTGAGES DURING THE FINANCIAL CRISIS
Bill aims to end GSE affiliation with MERS
H.R.6460 — Transparency and Security in Mortgage Registration Act of 2010

Today’s News Synopsis:

31,403 new and resale homes and condos were sold statewide in November, according to MDA DataQuick. LPS reports the delinquency rate for loans that are 30+ days past due is 9.02%. Ben Bernanke believes we still have 4 to 5 years until the unemployment rate reaches pre-recession levels.

In The News:

DQNews - “California November Home Sales” (12-16-10)

“An estimated 31,403 new and resale houses and condos were sold statewide last month. That was down 3.9 percent from 32,669 in October, and down 12.4 percent from 35,860 for November 2009. California sales for the month of November have varied from a low of 25,578 in 2007 to a high of 60,326 in 2004, while the average is 39,987. MDA DataQuick’s statistics go back to 1988.”

CBIA - “California’s recovery might not mean a robust job market” (12-16-10)

“California added just 1,600 jobs in November, signaling that the economy could continue to recover without significant job growth. The unemployment rate remained steady at 12.4%, the Employment Development Department said Friday morning.”

Housing Wire – “Foreclosure inventories rise as delinquencies drop in November: LPS” (12-16-10)

“Lender Processing Services (LPS: 30.02 -0.03%) said the delinquency rate for loans that are 30 or more days past due, but not in foreclosure was 9.02% in November, down nearly 3% from October and down 15.6% from November 2009. Total U.S foreclosure pre-sale inventory rate was 4.08%, up 4.1% from the previous month and up 8% from the year-ago period.”

Housing Wire – “Mesirow Financial: Housing recovery to spur economic growth in 2011″ (12-16-10)

“Mesirow Financial analysts said housing has fallen so low that there’s only one way to go, but the expected level of activity in home sales and starts ‘is expected to remain closer to that associated with a recession than a recovery, well into 2012.’”

Housing Wire – “Higher loss severities on foreclosures will push servicers to short sales in 2011: Fitch” (12-16-10)

“Loss severities are expected to increase between 5% and 10% on residential mortgage-backed securities in 2011 as loss mitigation costs and foreclosure expenses go up, according to Fitch Ratings. This, analysts said, will push servicers to short sales.”

Inman - “Real estate deja vu in 2011″ (12-16-10)

“even though Federal Reserve Chairman Ben Bernanke estimates that we have four or five years until unemployment reaches pre-recession levels, that means that there will have to be some incline over the next few years. Even though this increase in employment levels may be small, it will still be a push in the positive direction.”

Looking Back:

Research from NAR shows that most small-scale, exterior home modificaitons, such as door replacements and wood deck additions, are the most profitable at resale. The Federal Reserve’s commercial/multifamily mortgage debt decreased by 0.8 percent from the second quarter 2009. Radar Logic estimates that housing will continue to have trouble in 2010, but does not believe that a second collapse will occur. According to ForeclosureRadar.com, foreclosure cancellations in California climbed 40% in November.

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.

Tags: , , , , , , , , , , , , , , ,
Posted in News, Video Blog | No Comments »

204-TNG Radio – Tom Anderson 12-11-10

Friday, December 10th, 2010

Tom Anderson

Chairman and Founder of PENSCO Trust Company


 streamitunesdownload

rss

This week Bruce is joined again by Tom Anderson. Tom is the chairman and founder of PENSCO Trust Company. He is considered by many to be the national expert on the topic of self directed IRAs. He focuses on how investors can increase their wealth-building potential with real estate and private equity investments. He has written articles for nearly all the nation’s and financial magazines. He was recently invited to Washington as part of the “Future of Finance Initiative” for the Obama Administration.

You can loan money to your IRA if you attempting to protect the existence of the IRA. You cannot loan money to your IRA to buy new lots. The loan must also be interest free. If it did have an interest rate, the loan would be considered self dealing, because you would be taking profit out of your IRA. Lastly, if the loan extends more than 60 days, you must provide the custodian with a note explaining that the IRA owes you money.

Tom recently spoke to a member of the Department of Labor who created this exemption, and the member confirmed that you could loan money to your IRA to bail it out of mortgage delinquency.

There are some IRA investments which may or may not be considered illegal depending on which government official is reviewing the investment. For example, Tom once heard of a man who used his IRA to buy a classic car. Because the car is a classic, there is good reason to believe the car will appreciate. However, a government official might consider this self dealing, because they may or may not perceive the classic car to be for personal use. If the government perceives the car to be for personal use, then the car purchase would be labeled self dealing. Depending on which day the car purchase was reviewed, and depending on who reviewed the purchase, this may or may not be a legal IRA purchase. You can perform a large variety of transactions within your IRA, but you must be careful not to purchase anything that the government might perceive as self dealing. If the government believes you are self dealing with your IRA, then your IRA will lose its tax-deferred status.

Bruce’s business is set up to buy and sell real estate. Bruce asks Tom if there is a limit on how much money, or how many houses, he could use for his IRA. Tom believes that this is up for interpretation. In Bruce’s case, he owns a real estate business, so if he performs many transactions through his IRA, the government may possibly perceive Bruce to be running a business through his IRA. All businesses must pay taxes, and if the government determined that Bruce was running his business through his IRA, then he might lose the tax-deferred status of his IRA. Tom believes that if Bruce was both working in his IRA for retirement investments, and out of it for business use, then it would be hard for the government to label Bruce’s IRA as a business. However, if Bruce was retired, and he only purchased and sold properties through his IRA, then the government may perceive Bruce to be running a business through his IRA. You should consult with your CPA to determine whether or not you will be subject to taxes.

A disqualified person is a term in the Internal Revenue Code 4975 which defines certain entities as people you cannot perform transactions with. The government does not want you to touch your IRA assets, because they want your assets to be there when you retire. So you cannot buy a condo in a vacation spot with your IRA, and then use that condo on the weekends. Disqualified persons include yourself, your spouse, your children, and the spouses of your children. Most people in your family are considered disqualified persons, except for siblings, nephews and uncles. If you deal with a sibling or nephew, you should not offer them less than market rates. Giving a member of your family the benefit of low payments through an IRA asset could be considered self dealing.

Bruce heard an unusual example of someone who was taxed for self dealing. An investor owned a commercial building, and his IRA owned the let next to it. The investor would park in the lot next door, and that was considered illegal personal use. You are not allowed to gain a personal benefit from your IRA while the IRA is growing. If a mistake like this occurs, you have 14 days to correct it. However, if the custodian was the cause of the mistake, then you can argue in court that the custodian should be held responsible.

Tom’s company will not accept any member that is not a part of a regulated institution. If he did not check to determine whether or not his members were being regulated, many bad people would have the opportunity to deal through them. A non-regulated company may enter into an agreement with a bank who is a custodian. All banks, credit unions and trust companies are automatically qualified to hold IRAs. If you are not one of those institutions, then you must be authorized by the IRS. There are 257 mutual fund companies, insurance companies, and broker dealers that are licensed by the IRS.

It is good business to protect the consumer, and the government supports that mentality. PENSCO will not help someone enter into a prohibited transaction. If a lender was involved in a prohibited transaction on an IRA, then they would be subject to a 15% tax on the amount of the transaction. So a lender that made a $100,000 bill would receive a $15,000 bill. If the lender was not aware of the prohibited transaction, then they may be exempt from the tax.

When an investor is told that he cannot buy a property from himself with his IRA, he may get the idea of having a friend buy his property, and then re-buying from his friend. However, this is still considered an illegal transaction. This is considered a linked transaction by the IRS. You will not go to jail for performing a transaction like this unless you fail to pay the penalty taxes. However, the IRS tends to not inform you of your mistakes until 3 years later, so you can get caught off guard if you are not careful.

If you buy a property through your IRA while using your brother as a lender, you will not be taxed so long as your brother does not receive more than his regular fee.

A Prohibited Transaction Exemption (PTE) is a request submitted to the Department of Labor when you anticipate that your potential transaction may be prohibited. A PTE is usually granted on the basis that there is no increase or decrease in value because of the transaction. You cannot submit a PTE after the transaction takes place. The exemption comes in writing, so the Good Day rule does not apply.

There are some custodians who offer check book IRAs. Tom believes this practice will probably be extinct soon. There are only two custodians Tom knows of that will do check book IRAs, and PENSCO is one of them.

Tom’s website is www.penscotrust.com

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.

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

The Norris Group Real Estate News Roundup 12/07/10

Tuesday, December 7th, 2010

Today’s News Synopsis:

UCLA economists expect unemployment to remain above 10% until the end of 2012. TransUnion predicts the national mortgage delinquency rate could fall below 5% in 2011. A survey from RealtyTrac shows 60% of Americans believe housing will not recover for another 2 years. According to HOPE NOW, 1.54 million permanent mortgage modifications were completed in the first 3 quarters of this year.

In The News:

The Press Enterprise – “Economic recovery to stay muted” (12-7-10)

“Unemployment in California should start to decline next year but is likely to remain above 10 percent until the end of 2012, an economic forecast released today found. The quarterly forecast from UCLA’s Anderson School of Management suggests that the state will see something in 2011 that has been lacking for more than two years: job growth.”

Wall Street Journal – “U.S. Mortgage Delinquency Rate Could Fall to 5% in ’11″ (12-7-10)

“The percentage of U.S. consumers who are delinquent on their mortgages could fall to about 5% by the end of 2011, from an expected 6.2% at the end of this year, according to a leading credit bureau. Even so, the proportion of consumers who are 60 or more days overdue on their mortgages would still be sharply higher than the historical range of 1.5% to 2%, according to TransUnion LLC, which analyzed about 27 million randomly selected consumer records from its database.”

Housing Wire – “JPMorgan sees GSE prepayment rates slowing in January” (12-7-10)

“The prepayment speeds on Fannie 15-year mortgages increased 5% last month from October, while Freddie prepayments climbed 8%, according to JPMorgan.”

Housing Wire – “Private mortgage modifications reach 1.5 million to date, 125,000 in October” (12-7-10)

“Hope Now, a private sector mortgage alliance, said the mortgage industry has completed more than 1.54 million permanent loan modifications for homeowners from January through October, as foreclosure suspensions affected foreclosure sales and starts.”

Housing Wire – “American homebuyers suffer from a crisis of faith: survey” (12-7-10)

“A housing conference call organized by real estate listing websites, Trulia and RealtyTrac, revealed 48% of potential homebuyers in America have lost faith in the ability of the mortgage industry and 24% percent lost faith in the ability of the government to manage said market.”

Bloomberg – “Half of Americans Say Home Recovery at Least Two Years Away” (12-7-10)

“Almost six in 10 U.S. adults say a housing recovery is at least two years away, and more than a third say flawed lender practices are partially to blame, according to a survey by Trulia Inc. and RealtyTrac Inc.”

Orange County Register – “Chapman says prospects dim for housing” (12-7-10)

“Although Chapman University foresees modest price gains and increased homebuilding in Orange County next year, lingering problems from the housing bust will continue to dog the market. The number of homes for sale will be large, defaults and foreclosures will grow and consumer anxiety will be high, according to Chapman University’s 2011 economic forecast.”

Looking Back:

One year ago, the MBA reported that delinquency rates increased during the third quarter for most mortgage investor groups. Bernanke claimed the recovery would continue for at least a year, but that the U.S. still had  some trouble to overcome. Six banks were shut down Friday, which would cost the FDIC a total of $2.384billion.

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.

Tags: , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

The Norris Group Real Estate News Roundup 12/06/10

Monday, December 6th, 2010

Today’s News Synopsis:

The Federal Reserve expects housing starts to reach 600,000 by the end of the year. Fannie Mae is suspending foreclosure evictions from Dec. 20 through Jan. 3, 2011. HUD representative Shaun Donovan claims the Homeless Prevention and Rapid Re-housing Program prevented or ended homelessness for 750,000 Americans.

In The News:

Army Times – “Consumer Watch: Walking away from your mortgage” (12-6-10)

“Nationwide, about 2.5 million homeowners have lost their homes in the last four years, according to the Center for Responsible Lending. Even some homeowners who could afford to make their payments have walked away because their homes have lost so much in value. Meredith says he won’t go that route. ‘I could not in good conscience walk away and dump the burden on the bank, who would then ask the taxpayers for another handout,’ he said.”

Orange County Register – “Calif. housing recovering, coast first” (12-4-10)

“The housing market has begun to stabilize in some of the coastal regions in the state. While credit unions have been willing and able to lend, demand for mortgages has been lean, despite the historically low interest rates. Members are either over leveraged, or concerned about future employment to make such a large purchase. Once individuals feel more secure about their income, they will be much more likely to make long-term purchases.”

Wall Street Journal – “US Housing Market To Rebound In 2011 -Freddie Mac Economist” (12-6-10)

“Macroeconomic factors suggest the U.S. housing market will improve in 2011, Freddie Mac’s chief economist said in a note Monday.”

USA Today - “Bernanke: Economy is fragile ‘very close to the border’” (12-6-10)

“Federal Reserve Chairman Ben Bernanke is stepping up his defense of the Fed’s $600 billion Treasury bond-purchase plan, saying the economy is still struggling to become ‘self-sustaining’ without government help.”

Housing Wire – “Chicago Fed sees housing sector improvement in 2011″ (12-6-10)

“The Fed forecasts that housing starts will reach 600,000 by the end of the fourth quarter of 2010 and increase to a total of 690,000 starts in 2011. The total number of housing starts in 2009 was 550,000.”

Housing Wire – “Fannie Mae to suspend foreclosure evictions for the holidays” (12-6-10)

“Fannie Mae will suspend foreclosure evictions from Dec. 20 through Jan. 3, 2011. The government-sponsored enterprise routinely halts the foreclosure process during the holiday season. Fannie currently holds a 4.56% serious delinquency rate on its mortgage portfolio, totaling more than $798 billion worth of loans as of October.”

Housing Wire - “HUD program keeps 750,000 Americans from homelessness” (12-6-10)

“The U.S. Department of Housing and Urban Development prevented or ended homelessness for 750,000 Americans through its Homelessness Prevention and Rapid Re-housing Program, the department’s secretary Shaun Donovan said Thursday.”

Housing Wire – “MBA says FHA indemnification proposal penalizes responsible mortgage lenders” (12-6-10)

“In October, the FHA proposed a new regulation forcing lenders to reimburse the government for insurance claims on defaulted mortgages that did not meet its guidelines within five years of the endorsement. It would require all new and existing lenders with the ability to insure loans on behalf of the Department of Housing and Urban Development to meet stricter performance standards.”

Bloomberg - “Your Underwater Mortgage Needs a Blow-Up Raft: Caroline Baum” (12-6-10)

“How can such a small sector of the $13.3 trillion economy exert such a strong downward pull on the whole thing? Real residential investment, as it’s formally known in the gross domestic product report, accounted for 2.4 percent of GDP in the third quarter. At its frothiest, in 2005, that share stood at 6.2 percent, a three-decade high.”

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.

Tags: , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

The Norris Group Real Estate News Roundup 12/01/10

Wednesday, December 1st, 2010

Today’s News Synopsis:

Freddie Mac announced it will suspend foreclosure evictions from Dec. 20 to Jan. 3, 2011. Automatic Data Processing reports the U.S. economy added 93,000 private-sector jobs during November. The Federal Reserve shared information about more than 21,000 individual transactions which provided $3 trillion in liquidity for market stabilization. According to the MBA, mortgage applications decreased 16.5% last week.

In The News:

NAR - “Realtors® Say Mortgage Interest Deduction Vital to Home Ownership, Economy” (12-1-10)

“The tax deductibility of interest paid on mortgages is a powerful incentive for home ownership and has been one of the simplest provisions in the federal tax code for more than 80 years. In a new survey commissioned by NAR and conducted online in October 2010 by Harris Interactive of nearly 3,000 homeowners and renters, nearly three-fourths of homeowners and two-thirds of renters said the mortgage interest deduction was extremely or very important to them.”

Wall Street Journal – “Deficit-Panel Chiefs Urge Tax, Spending Changes” (12-1-10)

“A 59-page proposal from the co-chairmen of the White House’s deficit-reduction commission, which they labeled ‘The Moment of Truth,’ calls for sweeping changes in how the country spends money and collects taxes, the starting point for a long debate about how to tackle the U.S. debt.”

Inman - “Move Inc. launches mortgage site” (12-1-10)

“Like other sites and services that enable consumers to shop for mortgages online, MortgageMatch.com employs an automated pricing engine that allows consumers to see the loan products and rates offered by multiple lenders.”

Mortgage Bankers Association – “Refinance Activity Continues to Decline as Rates Rise in Latest MBA Weekly Survey” (12-1-10)

“The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending November 26, 2010. The Market Composite Index, a measure of mortgage loan application volume, decreased 16.5 percent on a seasonally adjusted basis from one week earlier. This week’s results include an adjustment to account for the Thanksgiving holiday. On an unadjusted basis, the Index decreased 34.2 percent compared with the previous week.”

Mortgage Bankers Association – “MBA: Commercial and Multifamily Mortgage Delinquency Rates Mixed in Third Quarter” (12-1-10)

“Delinquency rates for different commercial/multifamily mortgage investor groups were mixed in the third quarter, according to the Mortgage Bankers Association’s (MBA) Commercial/Multifamily Delinquency Report. The delinquency rate for loans held in CMBS is the highest since the series began in 1997. Delinquency rates for other groups remain below levels seen in the early 1990′s, some by large margins.”

Housing Wire – “Freddie Mac to suspend foreclosure evictions this holiday season” (12-1-10)

“Freddie Mac will suspend foreclosure evictions from Dec. 20 to Jan. 3, 2011, the company announced Wednesday. Freddie Mac’s mortgage portfolio stands at $39.6 billion as of October, according to its monthly summary report. Its serious delinquency rate stood at 3.82% in October as well.”

Housing Wire – “November employment increase largest in three years” (12-1-10)

“The U.S. economy added 93,000 private-sector jobs in November from the previous month, the largest gain in three years and a sign of a ‘brightening’ employment situation, according to the Automatic Data Processing report Wednesday. However, the improvement will not be enough to lower the unemployment rate, which according to ADP will likely remain above 9% for all of 2011.”

Housing Wire – “Bair says more regulation needed to restore integrity of mortgage servicing” (12-1-10)

“Bair said the robo-signing scandal spawned from misaligned incentives in the servicing industry, and called on the Financial Stability Oversight Council to fill in the regulatory gaps left by the Dodd-Frank Act. Regulation is needed to track the title of a loan and to properly document the foreclosure process, she said.”

Housing Wire – “Secret’s out: Federal Reserve reveals who got help in midst of financial crisis” (12-1-10)

“The Federal Reserve Board on Wednesday posted detailed information about more than 21,000 individual transactions that provided $3 trillion in liquidity to stabilize markets during the nation’s financial crisis.An analysis of the data by The Wall Street Journal showed Goldman Sachs used an emergency overnight loan program from the Fed 84 times for a total of nearly $600 billion. The Primary Dealer Credit Facility, announced in March 2008, was used 212 times by Morgan Stanley”

Bloomberg - “Fannie, Freddie Spar With Regulators on Foreclosures” (12-1-10)

“Acting Comptroller of the Currency John Walsh said in testimony prepared for a congressional hearing today that his agency is directing national bank servicers to suspend foreclosures for borrowers actively seeking to qualify for loan modifications.”

Looking Back:

One year ago, the NAR reported that pending home sales increased during October by 3.7 percent. The California Board of Equalization claimed that most homeowners would see a decline in property tax after a deflation of 0.237 percent.  According to Real Estate Econometrics LLC, the commercial mortgage default rate on loans held by U.S. banks increased to 3.4 percent in the third quarter of 09.

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.

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

The Norris Group Real Estate News Roundup 11/29/10

Monday, November 29th, 2010

Today’s News Synopsis:

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

In The News:

NAR - “Commercial Real Estate Markets Stabilizing, See Slight Improvement in 2011″ (11-29-10)

“The outlook for the office and industrial markets has moderated with modestly declining vacancy rates expected as 2011 progresses, while the retail sector should hold fairly steady. Still, high vacancy rates imply falling rents”

Wall Street Journal – “Bidding Wars Are Back in Some Markets” (11-28-10)

“Research a neighborhood’s inventory. In a real buyer’s market, houses sit on the market for more than six months before selling. To find out how long is typical in a given neighborhood, compare the number of active listings to those under contract — if there’s a glut of houses on the market, there will be far more of the former than the latter.”

Wall Street Journal – “What Happened to the Government’s Short Sales Program?” (11-29-10)

“HAFA works like this: Servicers are supposed to consider short sales for borrowers who aren’t able to receive a HAMP modification. Because some 700,000 HAMP applicants have been ejected from that program, there’s a potentially large pool of borrowers who might be evaluated for HAFA.”

Housing Wire – “Limited MBS supply on tap for 2011, JPMorgan says” (11-29-10)

“In the firm’s securitized products outlook for next year, analysts expect supply of agency, fixed-rate MBS to rise to about $195 billion with nontraditional sources such as liquidations of delinquent loans providing most of the increase. Analysts forecast just $20 billion in MBS supply from new homes sales and cash-out refinancing next year, and modest tightening in mortgages vs. swaps is also expected.”

Housing Wire – “Fannie Mae serious delinquency rate drops annually for first time since 2007″ (11-29-10)

“The serious delinquency rate on single-family mortgages held by Fannie Mae was 4.56% in September, a 16 basis point drop from September 2009 and the first yearly decline since April 2007. In April 2007, the serious delinquency rate was at 0.62%, down 2 bps from April 2006.”

Housing Wire – “Fannie and Freddie give green light to resume sales of foreclosures” (11-29-10)

“Fannie Mae and Freddie Mac gave real estate agents the green light to resume selling foreclosed homes, after suspending the process as the robo-signing debacle unfolded the past two months.”

Housing Wire – “A loan in foreclosure: 492 days — and growing” (11-29-10)

“The average age of a loan in foreclosure hit 492 days in October, and appears as if it will only loom ever-longer in the months ahead.”

Bloomberg - “Defaults on U.S. Commercial Mortgages Held by Banks Rose in Third Quarter” (11-29-10)

“About $604.1 million of loans on office buildings, malls, hotels and other commercial properties went into default in the three months ended Sept. 30, pushing the default rate to 4.36 percent of outstanding loan balances, from 3.41 percent a year earlier and 4.27 percent at midyear, the New York-based real estate research firm said. The record default rate was 4.55 percent in 1992, according to Real Capital. ”

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.

Tags: , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

The Norris Group Real Estate News Roundup 11/23/10

Tuesday, November 23rd, 2010

Today’s News Synopsis:

The CBIA reports housing production decreased 28% in October. National existing home sales declined 2.2%, and California home sales declined 3.5%, according to data from the NAR and CAR. Zillow claims interest rates fell again after last weeks sudden gain. Statistics from Lender Processing show foreclosures fell 36% in October.

In The News:

CBIA - “California Housing Production Continues Decline in October, CBIA Announces” (11-23-10)

“According to statistics compiled by the Construction Industry Research Board (CIRB), permits were pulled for 2,108 total housing units in October, down 28 percent from the same month a year ago and down 28 percent from September. Permits for single-family homes totaled 1,364, down 37 percent from October 2009 and down 21 percent from the previous month, while multifamily permits totaled 744, down 3 percent from a year ago and down 39 percent from September.”

NAR - “Existing-Home Sales Decline in October Following Two Monthly Gains” (11-23-10)

“Existing-home sales1, which are completed transactions that include single-family, townhomes, condominiums and co-ops, declined 2.2 percent to a seasonally adjusted annual rate of 4.43 million in October from 4.53 million in September, and are 25.9 percent below the 5.98 million-unit level in October 2009 when sales were surging prior to the initial deadline for the first-time buyer tax credit.”

CAR - “California home sales decline from previous month, year” (11-23-10)

“Statewide home resale activity declined 3.5 percent in October to a seasonally adjusted annualized rate of 450,360, down from September’s revised pace of 466,930, according to information collected by C.A.R. from more than 90 local REALTOR® associations statewide. The October pace was down 19.6 percent from the revised 560,390 sales pace recorded in October 2009. The statewide sales figure represents what would be the total number of homes sold during 2010 if sales maintained the September pace throughout the year. It is adjusted to account for seasonal factors that typically influence home sales.”

Housing Wire – “Zillow: 30-year mortgages head back down after one-week increase” (11-23-10)

“After a one-week turn around in mortgage rates, the 30-year, fixed-mortgage rate fell again to 4.27%, according to the Zillow Mortgage Marketplace weekly update.”

Housing Wire – “FHFA: 30-year mortgages drop to new low of 4.46% in October” (11-23-10)

“The average interest rate on a 30-year fixed-rate mortgage was 4.46% in October, a drop of 12 basis points from September when the rate was 4.58%, according to the Federal Housing Finance Agency.”

Housing Wire – “Freddie Mac delinquencies increase for first time since February” (11-23-10)

“Freddie Mac’s 90-plus day delinquency rate increased for the first time since February, according to the government sponsored enterprise’s monthly summary. The delinquency rate for single-family residences was 3.82% in October, up from 3.8% in September.”

Housing Wire – “Bank earnings skyrocket in 3Q as FDIC problem list nears 17-year high” (11-23-10)

“Third-quarter earnings at institutions insured by the Federal Deposit Insurance Corp. continue to get stronger even as the number of banks on the regulator’s problem list nears the highest level in 17 years.”

Bloomberg - “U.S. Office Rebound to Be Delayed by `Shadow’ Space, Berkeley’s Rosen Says” (11-23-10)

“Unoccupied ‘shadow inventory’ accounts for 3 percent to 5 percent of total business leases, and that space will be filled before firms sign new rental agreements, Rosen, chairman of Berkeley’s Fisher Center for Real Estate and Urban Economics, said at a conference in San Francisco. Cloud computing and other tech advances let employees work away from offices, further reducing space needs, he said.”

Bloomberg - “Foreclosures of U.S. Homes Fell 36% After Freeze, Lender Processing Says” (11-23-10)

“Banks seized 79,886 homes, down 36 percent from a record 124,051 in September and the lowest number since May 2009, the Jacksonville, Florida-based real estate data company said in a report today. Lender Processing bases its figures on information collected from loan servicers at the time of foreclosure.”

Looking Back:

One year ago, the NAR reported that existing-home sales increased by 10.1 percent in October. Statistics showed that California workers, who earned the national median income, could afford 59.1 percent of the new and existing homes during the 3rd quarter of 2009. Multifamily lenders provided $88 billion in new financing for apartment buildings with 5 or more units during 2008.

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.

Tags: , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

The Norris Group Real Estate News Roundup 11/22/10

Monday, November 22nd, 2010

Today’s News Synopsis:

According to CoreLogic, shadow inventory levels increased to 2.1 million units in August. TransUnion reports mortgage delinquency rates fell to 6.7%. Data from Campbell Surveys shows the current foreclosure problems are significantly delaying closings.

In The News:

Orange County Register - “Calif. ranked 3rd best U.S. home market” (11-20-10)

“Tops on the list for year-over-year price gains for all transactions — distressed sales, included — was New York (up 2.67 percent) then North Dakota (a 1.73 percent gain.) After California came Nebraska (+.78 percent), and Virginia (+.77 percent).”

Inman - “Lenders scoring lower on customer satisfaction” (11-22-10)

“Customer satisfaction with mortgage originators is on the decline as the time from loan application to approval has grown to 27.5 days, up from 20 days last year, according to a study by J.D. Power and Associates.”

Wall Street Journal – “Shadow Inventory of Homes Rising” (11-22-10)

“The ‘shadow inventory’ of unlisted bank-owned homes and potential foreclosures increased to 2.1 million units in August, up 10% from one year earlier, according to new estimates from CoreLogic, a real-estate research firm.”

Housing Wire - “Investors eye opportunities in distressed properties and loans” (11-22-10)

“Market indications, not just living on rumors of a billion dollar Pimco fund for distressed loans and properties, are such that global investors are also looking more at the U.S. According to a global distressed property monitor from the Royal Institute of Chartered Surveyors, investor interest in distressed sales is now double that of a year ago.”

Housing Wire – “Moody’s: CRE prices rose 4.3% in Sept. to highest since May” (11-22-10)

“Commercial real estate property prices increased for the first time since May with a 4.3% gain for September, according to Moody’s Investors Service.”

Housing Wire – “Mortgage delinquency rate tumbles 3.5% in 3Q: TransUnion” (11-22-10)

“The national mortgage delinquency rate fell 3.5% from the second to the third quarter to a rate of 6.7%, according to a report released Monday by TransUnion. This is the largest quarterly drop the firm witnessed since the fourth quarter of 2006. The rate still remains 3% higher than the third quarter of 2009, however.”

Housing Wire - “Foreclosure mess scares off homebuyers: Campbell/Inside Mortgage Finance” (11-22-10)

“Servicing problems disrupted both short sales and REO sales. Survey results show that 24% of closings scheduled for October were delayed or canceled due to issues with short sales, while 12% were delayed or canceled due to REO title issues.”

Bloomberg - “Mortgage Documentation Failures Extend Past Securitizations, Cantor Says” (11-22-10)

“In some cases faulty files are lowering loan prices or extending the time it takes to complete sales, said Jason Kopcak, the head of whole-loan trading at the New York-based broker. Residential and commercial mortgages owned by banks looking to sell often lack the papers required by buyers, including documents needed to foreclose, Kopcak said.”

Orange County Register – “O.C. homes: 4th costliest vs. income” (11-22-10)

“FiServ’s recent home-price outlook contained intriguing stats on 212 markets and the relationship between the median selling price of homes (for second quarter 2010) in major metropolitan areas across the nation and the local household median incomes from 2009.”

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.

Tags: , , , , , , , , , , , , , , , , , , , ,
Posted in News | No Comments »

« Older Entries
Newer Entries »