Today’s News Synopsis:
Housing starts decreased by 14.4% last month with the decrease in multifamily production. Mortgage rates increased again to a 3-month high with 30-year rates now at 4.23% and 15-year rates at 3.37%. In a recent announcement by the Federal Reserve, tapering will be completed by the end of next month, meaning an end to the bond-buying program.
In The News:
DS News - “Report: Home Sales Down, Prices Up For August” (9-18-14)
“Home sales in August remained below last year’s pace for yet another month as prices inched higher, RE/MAX reported on September 16.”
“Led by a steep 31.7 percent decline in multifamily production, nationwide housing starts fell 14.4 percent to a seasonally adjusted annual rate of 956,000 units in August, according to newly released figures from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.”
Mortgage Professional America - “The taper is nearly complete — lock your borrowers in while rates are low” (9-18-14)
“The Federal Reserve said yesterday that its bond-buying program will end in October as scheduled. So does that mean mortgage rates will see an immediate spike? The short answer is: not yet.”
DS News – “Real Estate Investors Discuss Buying Hot Spots” (9-18-14)
“With so many single-family distressed homes out there on the market, real estate investors are aware of the need to choose carefully which homes to buy – and it’s more than just the house itself that figures into the equation when buyers are making that determination.”
Housing Wire - “Freddie Mac: Mortgage rates move to 3-month high” (9-18-14)
“Mortgage rates shot up for the week ended Sept. 18, making their biggest one-week gain so far this year, the latest Freddie Mac Primary Mortgage Market Survey found.”
OC Housing News – “Low mortgage rates fail to overcome buyer reluctance” (9-18-14)
“I would like to own a Lexus LS 460. It’s a beautiful and luxurious automobile; however, I am reluctant to buy one because the price is just too high. They could lower the interest rate to zero, and I would be unlikely to buy a car that costs that much. No matter how much people may want something, if the price is too high, they will be reluctant to buy it.”
DS News – “CFPB Has Caused Businesses to Heavily Emphasize Compliance” (9-18-14)
“With the mortgage industry becoming more heavily regulated in the last four to five years, those who work within the industry have had to place an increased emphasis on compliance.”
Inman – “Heat map shows baby boomers and millennials on the move” (9-18-14)
“RealtyTrac has analyzed Census Bureau data to map the migration patterns of baby boomers and millennials from 2007 to 2013 in more than 1,800 counties.”
Housing Wire – “Fitch: Rise of nonbank servicers threatens private-label RMBS” (9-18-14)
“The precipitous growth of nonbank mortgage servicers in recent years presents a threat to the performance of private-label residential mortgage-backed securitizations, Fitch Ratings said in a new report.”
DS News - “Analyst Predicts Home Price Decline In Report to White House” (9-18-14)
“Former Goldman Sachs executive Joshua Pollard sent a sobering 18-page report to the White House on September 17 warning of a potential downturn in home prices that could put the country back into a recession before the ripples of the previous one settle.”
Hard Money Loan Closed
Lancaster, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $85,000 on a 3 bedroom, 1 bathroom home appraised for $130,000.
Bruce Norris of The Norris Group will be presenting Secrets To Becoming Wealthy with InvestClub for Women in Cerritos TONIGHT.
On Friday, October 24, Bruce Norris will be presenting the 7th annual I Survived Real Estate 2014.
Bruce Norris of The Norris Group will be holding his Property Buying Boot Camp Tuesday-Thursday, November 11-13.
Mortgage applications saw an 11.2% increase over the previous week according to the Mortgage Bankers Association. According to the latest FNC Residential Price Index report, home prices were at their highest in three years with a 0.7% increase in July. However, housing starts were below expectations, having risen by only 0.9% to 891,000.
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.