Today’s News Synopsis:
In The News:
DS News – “Slight Increases In Mortgage Default Rates Should Not Raise Concerns” (11-18-15)
“The default rates for first and second mortgages has been up and down for nearly all of 2015, and in October, both rates were on the way up. The first mortgage default rate jumped by five basis points up to 0.81 percent and the second mortgage default rate spiked by nine basis points up to 0.56 percent, according to the S&P Dow Jones Indices and S&P/Experian Consumer Credit Default Indices for October 2015.”
Housing Wire – “House votes to revamp Qualified Mortgage rules” (11-18-15)
“The House of Representatives voted Wednesday to change the definition of “Qualified Mortgage,” opening the door to a potentially seismic change in the mortgage lending landscape.”
“Led by a steep drop in multifamily production, nationwide housing starts fell 11 percent to a seasonally adjusted annual rate of 1.06 million units in October, according to newly released data from the U.S. Department of Housing and Urban Development and the Commerce Department.”
Bloomberg – “CMBS Market Starts to Get ‘Frothy’ as Valuations Rise, Voya Says” (11-18-15)
“Voya Financial Inc.’s Christine Hurtsellers said she’s staying away from new issues of commercial mortgage-backed securities, echoing concerns from Federal Reserve officials and bond graders about loosening underwriting standards in the market.”
Housing Wire – “Despite slow down, California housing still on target for 2015 forecast” (11-18-15)
“Although California’s housing market softened in October as both statewide sales and median price contracted from the previous month, it is still on target to meet forecast projections, the California Association of Realtors reported.”
DS News – “Fed Reform, Mortgage Access Bills Under Threat of Veto from the White House” (11-18-15)
“Federal Reserve Chair Janet Yellen is not the only one who disapproves of a bill that calls for more transparency from the Fed. Now the White House is threatening to veto that bill as well as another piece of legislation that would allow loans in portfolio to qualify for an exemption under the Consumer Financial Protection Bureau (CFPB)’s qualified mortgage (QM) rule, which passed in the House on Wednesday.”
Mortgage Bankers Association – “Mortgage Applications Increase in Latest MBA Weekly Survey” (11-18-15)
“Mortgage applications increased 6.2 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending November 13, 2015. This week’s results included an adjustment for the Veterans Day holiday.”
DS News – “Delgado Applauds Passage of Ohio Foreclosure Fast Track Bill, Urges Senate to Act” (11-18-15)
“On the topic of blight in residential neighborhoods, Ohio-based Safeguard Properties Chairman Robert Klein said, ‘A vacant and abandoned house is not a bottle of wine. It doesn’t get better with age.'”
Bruce and Aaron Norris will be speaking with the Inland Empire Real Estate Investment Club on Monday, November 23.
Bruce Norris will be presenting his newest talk Stay Put, Cash Out, Or Change Seats? with SDCIA on Tuesday, December 8.
Bruce Norris will be presenting his newest talk Stay Put, Cash Out, Or Change Seats? with Prosperity Through Real Estate on Tuesday, January 5.
Bruce Norris will be presenting his newest talk Stay Put, Cash Out, Or Change Seats? with CVREIA on Tuesday, January 12.
Image copyright source: www.flickr.com/photos/jeremybrooks
The NAHB reported an increase in builder confidence by four points to 58. Home affordability for the middle class decreased over the previous year as a result of increased home prices according to Trulia. In addition, first mortgage default rates continued to show signs of increase according to S&P/Experian, having increased 0.96% from 0.93% the previous month.
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