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Fannie Mae Chief Economist to Join I Survived Real Estate 2011 Panel

aaron — Thu, 29 Sep 2011 23:39:20 +0000

Doug Duncan, Fannie Mae’s Vice President and Chief Economist, to join real estate analyst Bruce Norris and others in an Oct. 14th panel discussion on the nation’s continuing real estate crisis

YORBA LINDA, Calif., Sept. 28, 2011 – There’s no question there are fewer qualified buyers in today’s real estate market.

When 65 percent of all home sales in places like Riverside County are either short sales or foreclosures, that means there’s only 350 potential repurchasers for every 1,000 sales.

But that’s not the only problem. According to Fannie Mae’s National Housing Survey released in August, there’s growing consumer concern about the economy.

“It seems like just the idea of buying a house has become more complicated because people are being forced to consider other factors involved including employment stability, national debt, and foreign debt defaults,” said Bruce Norris of The Norris Group.

“You’re seeing a continued financial conservatism on the part of households as they attempt to get their household balance sheets back in order by reducing debt and increasing savings, all of which create a demand-side problem for housing,” said Doug Duncan, Fannie Mae’s vice president and chief economist.

Duncan will join real estate analyst Bruce Norris of The Norris Group and other nationally known real estate experts at the Nixon Presidential Library on Oct. 14th to discuss potential solutions to the nation’s continuing real estate crisis.

The event, dubbed “I Survived Real Estate 2011,” is organized each fall by The Norris Group and features some of the most respected voices in real estate. This year’s lineup also includes:

* Doug Duncan, chief economist for Fannie Mae
* Eric Janszen, founder and president of iTulip, Inc.
* Debra Still, chairman elect of the Mortgage Bankers Association
* Sean O’Toole, president of Foreclosure Radar

Norris, who has built a following in the real estate community and with news reporters after producing consistently accurate real estate forecasts, said the panelists should provide a clearer picture of what we can expect to happen in real estate markets in California and elsewhere in the coming months in addition to identifying potential solutions to the crisis as well as opportunities for real estate professionals and investors.

In a recent interview on Norris’s weekly radio program, Duncan said housing is still a worthwhile long-term investment. “If you don’t own in the future,” he said, “the housing bill will always take the majority of your income. If you are able to buy and lock in a fixed rate, it will become less and less a percentage of your budget.”

Norris regularly interviews lenders, economists, builders and other housing experts on his weekly real estate radio talk show, which airs at 6 p.m. Saturdays on KTIE 590 AM in San Bernardino. Podcasts of Norris’s radio interviews can be accessed through his company website, www.thenorrisgroup.com.

Net proceeds from the Oct. 14th event will be donated to the Orange County affiliate of Susan G. Komen for the Cure, the world’s largest grassroots organization dedicated to finding a cure for breast cancer.

The event has more than 25 sponsors, including Kucan & Clark Partners, LLC, Las Brisas Escrow, Leivas Associates, Mike Cantu, Northern California Real Estate Investors Association, Northern San Diego Real Estate Investors Association, and Pacific Sunrise Mortgage.

For tickets and other information involving the Oct. 14th event, please visit www.isurvived2011.com. Reporters seeking advance interviews with Norris and panel participants before or after the event should contact Aaron Norris at (951) 780-5856.

Eric Janszen joins the I Survived Real Estate Panel October 14th

aaron — Tue, 27 Sep 2011 23:39:12 +0000

Eric Janszen, author of “The Post Catastrophe Economy,” to join real estate analyst Bruce Norris and others in an Oct. 14th panel discussion on the continuing real estate crisis.

YORBA LINDA, Calif., Sept. 27, 2011 – Eric Janszen, who wrote a book last year titled “The Post Catastrophe Economy,” was one of the first analysts in the country to warn of a housing bubble, which he anticipated in 2000.

Janszen anticipated that the economic crisis caused by the bursting of the housing bubble would force significant changes in the structure of the U.S. economy. But that hasn’t happened, which is troubling given the continuing high levels of unemployment and malaise that have affected the U.S. economy in recent years.

On Oct. 14th, Janszen will join real estate analyst Bruce Norris of The Norris Group and other nationally known real estate experts at the Nixon Presidential Library to discuss solutions to the nation’s continuing real estate crisis.

The event, dubbed “I Survived Real Estate 2011,” is organized each fall by The Norris Group and features some of the most respected voices in real estate. This year’s lineup also includes

* Doug Duncan, chief economist for Fannie Mae
* Eric Janszen, founder and president of iTulip, Inc.
* Debra Still, chairman elect of the Mortgage Bankers Association
* Sean O’Toole, president of Foreclosure Radar

In a recent interview on Norris’s weekly radio program, Janszen warned that the U.S. government has wasted precious time and public credit trying to restart an economy in a global economic environment that is fundamentally different from the one that characterized the past 30 years. The government, he added, needs to be thinking about the changes and the investments that are needed right now to help the U.S. regain its competitive edge.

The event has more than 25 sponsors, including ForeclosureRadar, HousingWire Magazine, Elite Auctions, Adrenaline Athletics, Coldwell Banker Pioneer Real Estate, Conaway and Conaway, Delmae Properties, Inland Empire Investors Forum, Keller Williams of Corona, and Keystone CPA.

The Norris Group Real Estate News Roundup 5/6/11

aaron — Fri, 06 May 2011 23:42:16 +0000

Sources:
Nonfarm payrolls add 244,000 jobs, unemployment edges up to 9%
A Reversal for Real Estate After Some Mild Gains
US March construction spending rose 1.4 percent
Home Buyers Go Hunting Alone
Private mortgage modifications drop 20% in first quarter
Federal government sues Deutsche Bank in NYC, alleging it committed mortgage fraud
U.S. May Pursue More Lenders After Suing Deutsche Bank on Loans
L.A. says Deutsche Bank among city’s largest slumlords, files suit seeking hundreds of millions of dollars [Updated]
Freddie Mac Turns $676M Profit in Q1, Needs No Taxpayer Funding
Shadow inventory will keep housing recovery at bay for three to four years
Commercial/Multifamily Mortgage Bankers’ First Quarter 2011 Originations Increase 89 Percent Over First Quarter 2010
CMBS Delinquency Rates at Record High

Today’s News Synopsis:

The White House released data reporting that interest rates are at a record low, allowing more affordable housing. According to Realty Times, Freddie Mac released their Mortgage Market Survey reporting that 30-year fixed-rate mortgages were at a yearly low of 4.71%. The real estate company Code 3 Reality Mortgage & Inc. will begin making conference calls to people in danger of foreclosure.

In The News:

Housing Wire - “White House data details fragility of housing” (5-6-11)

“Housing remained extremely affordable in March, as mortgage interest rates hovered near record lows. Yet the housing market remains fragile, due to conflicting information on home prices nationwide, according to data released Friday by the White House.”

Realty Times - “30-year Fixed-Rate Mortgage Matches Yearly Low of 4.71 Percent” (5-6-11)

“Freddie Mac (OTC: FMCC) today released the results of its Primary Mortgage Market Survey® (PMMS®), which shows mortgage rates drifting lower with the 30-year fixed-rate mortgage matching the yearly low of 4.71 percent, and the 15-year fixed hitting a new yearly low of 3.89 percent.”

Bloomberg - “‘Squatter Rent May Boost Spendig as U.S. Mortgage Holders Bail” (5-6-11)

“Pew surveyed 2,142 U.S. adults in March; 57% of respondents who own a home and 30% who are renters; the remainder has other arrangements, such as living with family members.”

DS News - “Code 3 Reality Introduces Foreclosure Prevention Teleconferences” (5-6-11)

“California real estate company Code 3 Realty & Mortgage Inc. will begin foreclosure prevention conference calls this month to provide information to homeowners facing foreclosure, as well as owners and renters occupying homes after they have been foreclosed.”

Housing Wire - “Freddie Mac sells record number of REO in 1Q” (5-6-11)

“Freddie Mac sold roughly 31,000 previously foreclosed and repossessed homes in the first quarter, a new record for the company as both government-sponsored enterprises shed inventory from the end of last year.”

DS News - “HAMP’s Re-Default Rate Below Industry Benchmarksat 16%: Treasury” (5-6-11)

“Sixteen percent of homeowners receiving permanent assistance through the government’s Home Affordable Modification Program (HAMP) have been disqualified from the program for missing three consecutive payments, according to Treasury.”

Inman - “Foreclosures drag down Atlanta real estate prices” (5-6-11)

“Metro Atlanta home prices have fallen to the lowest levels in more than a decade, sinking under the weight of distressed properties.”

NAHB - “Foreclosures drag down Atlanta real estate prices” (5-6-11)

“The National Association of Home Builders (NAHB) today applauded Rep. Gary Miller (R-Calif.), Rep. Brad Miller (D-N.C.) and 29 other original cosponsors for introducing bipartisan legislation aimed at restoring the flow of acquisition, development and construction (AD&C) credit to the housing sector to help spur job growth, support a recovery in the housing market and keep the economy moving forward.”

MSNBC - “‘Home Alone’ house in Chicago suburb on sale” (5-6-11)

“The stately Georgian home where actor Macaulay Culkin outwitted a pair of bumbling thieves in the 1990 hit film “Home Alone” is for sale for $2.4 million.”

Orange County Register - “Successful sale of industrial buildings is a good sign” (5-6-11)

“A real-estate-investment company has sold the last of 25 buildings in one of the largest industrial complexes in Fullerton – a big milestone, considering the economy’s prolonged recession.”

Looking Back:

One year ago, the state Department of Real Estate was warning troubled homeowners seeking a ‘short sale’ — a deal where the lender agreed to accept less than what is owed at closing — that they were suspectible to unscrupulous ‘helpers’ who may have had improper demand fees; given misguided advice or taken the property away at an unfair price”.

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 Norris Group Real Estate News Roundup 4/29/11

aaron — Fri, 29 Apr 2011 21:58:53 +0000

Today’s News Synopsis:

The Commerce Department reports personal incomes increased 0.5% in March. Freddie Mac said 30 year mortgage rates dropped to 4.78% last week. Orange County apartment rents rose 1.6% in the first quarter.

In The News:

Los Angeles Times - “Consumer spending, income both rise in March” (4-29-11)

“Personal incomes rose 0.5% last month and consumer spending increased 0.6%, the Commerce Department reported Friday. But after adjusting for inflation, spending rose only 0.2% and after-tax incomes were essentially flat.”

Inman - “Money madness: the economy’s new gold standard” (4-29-11)

“Before rounding them up, a moment for the economy: inbound data are on the weak side. First-quarter U.S. gross domestic product, expected everywhere (until March) to be in excess of 4 percent growth, maybe 5 percent, arrived at 1.8 percent. Net of distortions, probably closer to 2.5 percent, but not going anywhere — certainly not fast enough to absorb labor or houses. Orders for durable goods did rise 1.2 percent in March, with manufacturing continuing as the one bright spot.”

Realty Times – “Mortgage Rates Fall With Latest Economic and Housing Reports” (4-29-11)

“Freddie Mac today released the results of its Primary Mortgage Market Survey® (PMMS®), which shows mortgage rates falling for the second consecutive week. The 30-year fixed-rate stands at 4.78 percent; the 15-year fixed at 3.97 percent, the lowest since December 9, 2010.”

Realty Times – “Reasons For Qualifying the Buyer” (4-29-11)

“too many Agents err in judgment by working with lower probability prospects than they should. We often are more willing to work with lower probability prospects because they are all we currently have. We work them in hopes that their motivation, time frame, commitment level, and even financial qualifications will change. This investment in low probability prospects is at best, optimistic thinking and at worst, delusional.”

Orange County Register – “Smaller O.C. apartments get bigger rent hikes” (4-29-11)

“Overall, average first quarter rents at large Orange County complexes ran $1,505 — up 1.6% from 2010′s average rent. If that trend holds, it would mark the first increase in local rents since 2008.”

Looking Back:

One year ago, Freddie Mac claimed the average rate for 30-year fixed-rate mortgages was 5.06 percent this week. Zillow estimated that home inventory will increase in the near future. The California Housing Finance Agency proposed a plan to spend $699.6m from the Hardest Hit Fund.

The Norris Group Real Estate News Roundup 4/27/11

aaron — Wed, 27 Apr 2011 19:39:26 +0000

Today’s News Synopsis:

If passed, a new California bill will require lenders to make a decision on mortgage modifications before beginning the repossession process. According to the Census Bureau, the national home vacancy rate fell to 2.6% in the first quarter. A study from the University of Chicago’s Booth School of Business shows that 35% of mortgage defaults in the U.S. were strategic during September 2010.

In The News:

Mortgage Bankers Association – “Mortgage Applications Decrease in Latest MBA Weekly Survey”z (4-27-11)

“Mortgage applications decreased 5.6 percent from one week earlier, according to data from the Mortgage Bankers Association’s Weekly Mortgage Applications Survey for the week ending April 22, 2011.”

Los Angeles Times – “California bill ending ‘dual track’ foreclosures faces key vote” (4-27-11)

“A proposed law facing a key vote in Sacramento on Wednesday would require lenders in California to make a decision on mortgage modifications for delinquent homeowners before beginning the repossession process, in effect ending “dual track” foreclosures in the state.”

Bloomberg - “Home Vacancies Fall in First Quarter as Foreclosures Stall” (4-27-11)

“The U.S. home-vacancy rate, a measure of the share of properties empty and for sale, fell to 2.6 percent in the first quarter as foreclosures slowed amid a lender backlog in processing paperwork. The rate, down from 2.7 percent in the fourth quarter, is based on 2 million vacant properties for sale out of 74.5 million residences, the Census Bureau said today.”

Inman - “FICO to walkaways: You’re on our screen” (4-27-11)

“A study by researchers at the University of Chicago’s Booth School of Business found that during last September alone, 35 percent of mortgage defaults in the U.S. were strategic — up sharply from 26 percent in March 2009.”

Bloomberg - “Fed Says Recovery is ‘Moderate’; Bond Buying to End in June” (4-27-11)

“Federal Reserve policy makers said the economy is recovering at a ‘moderate pace’ and a pickup in inflation is likely to be temporary, as they agreed to finish $600 billion of bond purchases on schedule in June.”

Looking Back:

One year ago, The S&P Index showed home prices increased in February. Speculators believed the Federal Reserve would keep interest rates at the 2010 low. The LexisNexis Mortgage Asset Research Institute reported that fraud increased by 7 percent in 2009. According to the FHFA, the average interest rate for a 30-year fixed-rate mortgage (FRM) of $417,000 or less was 5.09% during April 2010.

The Norris Group Real Estate News Roundup 4/12/11

aaron — Tue, 12 Apr 2011 23:01:36 +0000

Today’s News Synopsis:

81 percent of respondents to a Pew Research Center’s survey believe housing is the best investment a person can make. California foreclosure sales increased 35.1% in March, according to ForeclosureRadar. Altos Research claims home sale inventory rose 2.97% last month. HUD is being sued over a rule requiring a property heir to pay the full mortgage balance to keep the home, even if it exceeds the value of the property.

In The News:

Mortgage Bankers Association – “Weekly Applications Survey” (4-12-11)

“Mortgage applications decreased 6.7 percent from one week earlier, according to data from the Mortgage Bankers Association’s Weekly Mortgage Applications Survey for the week ending April 8, 2011. ”

Housing Wire – “Investors eager, but hold no great expectations for economic growth” (4-12-11)

“Investors are jumping back into the market and reducing their cash holdings even as the overall economic outlook suggests the world economy is facing ‘below-trend growth’ and ‘above trend’ inflation, according to the Bank of America Merrill Lynch (BAC: 13.525 +0.26%) Survey of Fund Managers for April.”

Housing Wire – “HUD halts foreclosures on reverse mortgage spouses” (4-12-11)

“The Department of Housing and Urban Development directed its reverse mortgage lenders and servicers to halt foreclosures on the borrower’s spouse, according to a letter sent out last week. The American Association of Retired Persons sued HUD in March on behalf of three spouses of reverse mortgage borrowers. HUD changed a previous policy from 1989, changed in 2008, that said than an heir, which includes a surviving spouse, must pay the full mortgage balance to keep the home, even if it exceeds the value of the property.”

Reuters - “Housing still best investment despite downturn: study” (4-12-11)

“The survey by the Pew Research Center’s Social and Demographic Trends project found that 81 percent of respondents see housing as the best investment a person can make, despite a slump in prices that has knocked nearly a third off home values since 2006.”

MSN - “Some real estate agents feeling spring chill” (4-12-11)

“Spring typically is the year’s busiest season for residential real estate, but this year some normally upbeat sales agents are showing signs of nervousness as they confront sluggish growth and tough lending standards.”

DSNews - “Self-Evident Truth in Market Variables: Longer Foreclosure Timelines” (4-12-11)

“in California foreclosure sales in March increased 35.1 percent on a month-over-month basis, but rose just 10.5 percent on a daily average basis. Nevada foreclosure sales, however, bounced back strongly after falling in February, rising 109.5 percent even on a daily average basis.”

Housing Wire – “Mortgage industry workforce plummets 51% since 2006″ (4-12-11)

“The number of employees in the mortgage industry declined 51% between February 2006 and February 2011, which equates to a loss of 257,000 jobs. February 2006 marked the peak of employment in this sector at 505,000 individuals.”

Housing Wire – “Fannie, Freddie lenders to submit electronic appraisals in June” (4-12-11)

“Fannie Mae and Freddie Mac notified lenders Wednesday that a new system will be available June 27 giving lenders the ability to upload appraisals electronically.”

Housing Wire – “Housing inventory rises for spring selling season: Altos” (4-12-11)

“Home sale inventory was up 2.97% in March and up 6.83% over the three months ended in March, according to the Altos Research 10-City Composite Index.”

Orange County Register - “Who has too much power in America?” (4-12-11)

“A new Gallup Poll shows Americans think that lobbyists, major corporations, banks, and the federal government have too much power, while state and local governments, the legal system, organized religion, and the military have the right amount of power or too little of it.”

Looking Back:

One year ago, distressed home sales in Orange County were selling 34 percent under the typical market place. Fiserv estimated that home prices would not return to the past peak levels until 2025.

The Norris Group Real Estate News Roundup 4/8/11

aaron — Fri, 08 Apr 2011 22:53:29 +0000

Sources:
Southern California rents are likely to remain flat, study says
32 million people struggling to pay mortgage
Home prices double-dip in West but flatten nationally: Clear Capital
Home prices fall for seventh month in February
U.S.: World’s 7th worst housing market
Possible Federal Government Shutdown
Federal shutdown would hit California hard
Analysts say FHA shutdown possible without budget consensus
Tax rule that would’ve hurt small business is repealed
Home Builders Applaud Congressional Passage of 1099 Repeal
The 2011 Community Preference Survey
Mortgage aid offered to those who cashed out equity

Today’s News Synopsis:

The government has yet to agree on a budget. If they cannot agree on a budget before Monday, many jobs will be put on hold, and many government sponsored programs will temporarily stop functioning. CMBS delinquencies fell to 8.74% in March, according to Fitch. The due date on taxes for property owners has been extended for 1 day.

In The News:

NAR - “What a Government Shutdown Means for REALTORS®” (4-5-11)

“If legislation providing for funding is not signed into law to extend funding after April 8, the federal government could shut down. This means many, but not all, government programs, including some that impact federal housing and mortgage programs, could grind to a halt as early as April 9, 2011.”

Los Angeles Times – “Home lenders shed workers as mortgage rates climb” (4-5-11)

“the nation’s No. 1 mortgage lender, has handed pink slips to about 1,900 workers who had processed loans generated both by Wells’ mortgage unit and by independent brokers, a spokesman said Thursday. About 230 of the positions were in California, said Jason D. Menke, a spokesman for Wells Fargo Home Mortgage in Des Moines, Iowa. Nearly 100 cuts were made in the San Diego area, 59 in Irvine and fewer numbers in San Bernardino, Rancho Cordova and Walnut Creek.”

Housing Wire – “The claim: Short sales closed in 30 days” (4-5-11)

“But if a mortgage servicer says his or her company can complete a short sale in 30 days, are they being overly ambitious? Eric Friedman, president of PREO, doesn’t think so. His 10-month-old company boasts the ability to accomplish this task. Through PREO.com, Friedman says he lines up banks, investors, servicers, real estate agents and buyers in a seamless process to transact a short sale in as little time as 30 days.”

Housing Wire – “Fisher: The time for banks to support the economy is now” (4-5-11)

“Fisher called for the immediate end for the Federal Reserve’s quantitative easing program and a pullout of all federal support for America’s financial institutions. He made his comments while speaking at the 2011 Society of American Business Editors and Writers conference at Southern Methodist University in Dallas Friday.”

Orange County Register – “SEC: O.C. activist lied to investors” (4-5-11)

“The Securities and Exchange Commission filed civil fraud charges Thursday against high-profile Orange County money manager and political activist Charles ‘Chip’ Hanlon, alleging that Hanlon ‘vastly overstated’ the size of his Delta Global Advisors financial advisory and the financial health of the business.”

Orange County Register – “Property owners get extra day to pay tax” (4-5-11)

“April 10 is the traditional due date for the money, but because this year that day falls on a Sunday, the deadline has moved to Monday!”

Housing Wire – “Fitch finds CMBS delinquencies dip for first time in four months” (4-5-11)

“The overall delinquency rate stood at 8.74% in March, a decrease of 2 basis points from the previous month and the first drop since October. Fitch analysts said despite the deceleration of delinquencies, which fell across four of the five main property types last month, the upswing projecting for the rest of the year will likely take the rate to a peak around 10%.”

Housing Wire – “FHA settles with mortgage lender for improperly refinancing loans” (4-5-11)

“The Federal Housing Administration’s Mortgagee Review Board settled with a Massachusetts mortgage lender that allegedly failed to fully verify whether borrowers could sustain mortgage payments prior to refinancing their loans. As part of the settlement, First American Mortgage Trust of Brookline, Mass., agreed to pay $72,500 to reimburse FHA for past insurance claims and to indemnify FHA’s insurance fund for any claims to be paid on five mortgages should they default within the next 60 months.”

Orange County Register – “How fed shutdown could affect homebuyers” (4-5-11)

“Virtually every mortgage taken now requires an IRS Form 4506 to be processed on the borrower. Lenders use this form to ensure there are no expense deductions, self-employment, rental income, etc that was not claimed on the mortgage application. If the government shuts down these forms cannot be processed and final loan approvals will be delayed.”

Looking Back:

One year ago, John Husing estimated that 10,500 new jobs would be created in Riverside during 2010. First American CoreLogic reported distressed sales accounted for 29 percent of the U.S. market. According to the Clear Capital Home Price Index, US home prices dipped 3.9% in the first quarter of 2010. The rate for 30-year FRM loans was at 5.21%.

The Norris Group Real Estate News Roundup 4/1/11

aaron — Fri, 01 Apr 2011 21:28:24 +0000

Sources:
House votes to kill Obama mortgage plan
U.S. Home ‘Shadow Inventory’ Totals Nine Months of Supply, CoreLogic Says
Calif. tops in new construction jobs
House Democrats give Geithner plan to revamp HAMP
U.S. Treasury to Publicly Grade Mortgage Servicers Over Loan Modifications
CBO drops estimate of TARP cost to $19 billion
S&P/Case-Shiller Home Price Indices
Vacation- and Investment-Home Shares Hold Even in 2010
Press Release
MBA Reacts to Risk Retention Proposal
Regulators vote for 20% down on QRM
House Republicans Introduce Eight Bills to Speed Wind-Down of GSEs
In Foreclosure Settlement Talks With Banks, Predictions of a Long Process
Proposed settlement would force banks to allow short sales for delinquent homeowners
In Prison for Taking a Liar Loan

Today’s News Synopsis:

Freddie Mac claims mortgage rates increased slightly to 4.86% last week. Construction spending decreased 1.4 percent in February, according to the Commerce Department. Statistics from the Bureau of Labor Statistics show the U.S. economy added 216,000 nonfarm payroll jobs in March. Veros estimates Orange County home prices will fall 1.3% within a year.

In The News:

San Francisco Chronicle – “30-year fixed-rate mortgages inch up to 4.86%” (4-1-11)

“That’s the average interest rate for a 30-year fixed mortgage in the week that ended Thursday, according to Freddie Mac. The rate fell to a record low of 4.17 percent in November as home foreclosures dragged on, then climbed above 5 percent in February. After dipping to 4.76 percent this month on turmoil in the Middle East and the nuclear crisis in Japan, loan rates are creeping up again.”

Los Angeles Times – “February construction activity drops, manufacturing cools” (4-1-11)

“The Commerce Department says construction spending tumbled for a third straight month, dropping 1.4 percent in February. The weakness pushed total activity down to a seasonally adjusted annual rate of $760.6 billion, the smallest total since October 1999.”

Housing Wire – “US added 216,000 nonfarm payroll jobs in March” (4-1-11)

“The U.S. economy added 216,000 nonfarm payroll jobs in March and unemployment inched down to 8.8%, the Bureau of Labor Statistics said Friday.”

Housing Wire – “Loan officer compensation ruling delayed” (4-1-11)

“The Federal Reserve’s rule governing how mortgage loan officers are paid is delayed until next week, giving the appellate court time to review lawsuits seeking to overturn the rule. Lawyers add they are confident the rule can be overturned.”

Housing Wire – “Obama housing stats underscore the fragility of the market” (4-1-11)

“Mortgage delinquencies along with foreclosure-related activity are dropping compared to a year ago, according to the Obama administration’s most recent housing scorecard. But experts are unwilling to say the figures signal positivity in the market. Department of Housing and Urban Development Assistant Secretary Raphael Bostic said February’s stats undermine the true fragility of the marketplace.”

Orange County Register – “Forecast: O.C. home prices to dip 1.3% in year” (4-1-11)

“Orange County home prices will fall 1.3% in the next year, according to the latest forecast from real estate tracker Veros from Santa Ana.”

Looking Back:

One year ago, the Commerce Department reported that construction spending decreased by 1.3 percent across the United States. The delinquency rate for CMBS loans increased to 7.61% in March. The delinquency rate for single family mortgages increased to 4.08 percent in February.

The Norris Group Real Estate News Roundup 3/31/11

aaron — Thu, 31 Mar 2011 22:31:53 +0000

Today’s News Synopsis:

The Office of Thrift Supervision reports serious delinquencies decreases in the 4th quarter of 2010. Riverside was pronounced to be the most likely city to experience further economic trouble. Commercial and multifamily mortgage originations increased 88% in the last few months of 2010. Fannie Mae’s mortgage portfolio decreased by 15% in February.

In The News:

CNN - “JPMorgan’s Dimon: No mortgage writedowns” (3-31-11)

“The head of JPMorgan Chase said Wednesday that banks would not consider writing down mortgages for homeowners who can make payments, an idea at the center of talks aimed at fixing the mortgage mess.”

Housing Wire - “Chief risk officer Bob Ryan to head up FHA” (3-31-11)

“The Department of Housing and Urban Development tapped Bob Ryan, formerly the chief risk officer at the Federal Housing Administration as its acting commissioner, replacing David Stevens. Stevens departs the FHA Thursday and will run the Mortgage Bankers Association.”

Housing Wire – “Fannie Mae’s gross mortgage portfolio drops 15.2%” (3-31-11)

“Fannie Mae said its gross mortgage portfolio fell at a compound annualized rate of 15.2% in February, while the government-sponsored enterprise’s entire book of business fell 0.7%.”

Housing Wire - “Jobless claims drop slightly for a third consecutive week” (3-31-11)

“The number of initial jobless claims filed by unemployed Americans fell to 388,000 in the week ending March 26, down from last week’s upwardly revised figure of 394,000, the Labor Department said Thursday.”

Office of Thrift Supervision – “Mortgage Performance Slightly Better in Fourth Quarter of 2010; Serious Delinquencies Drop for the Fourth Consecutive Quarter” (3-31-11)

“The quarterly report by the Office of the Comptroller of the Currency and the Office of Thrift Supervision showed that 87.6 percent of the 32.9 million loans in the portfolio were current and performing at the end of the fourth quarter of 2010.”

Mortgage Orb – “Legislation Dismantles GSEs Piecemeal-Style” (3-30-11)

“Republicans on the House Financial Services Committee have introduced eight targeted bills that, taken together, aim to reduce the government’s involvement in housing and spark a resurgence among private capital.”

Yahoo - “Cities Where Things are Getting Worse” (3-29-11)

“Six California cities claim spots on our list of Cities Where The Economy May Get Worse. Riverside took the number one spot, thanks to a high unemployment rate (13.9%) coupled with weak job growth, a hefty number of mortgage loans 90 days or more delinquent (8.21% of all loans) and a projected migration pattern that finds 4,000 residents expected to leave the area this year.”

Housing Wire – “Commercial and multifamily mortgage originations up 88%” (3-31-11)

“Commercial and multifamily mortgage originations grew 88% in the fourth quarter of 2010 when compared to 4Q 2009, the Mortgage Bankers Association said in its Fourth Quarter Commercial Real Estate-Multifamily Finance Quarterly Report.”

Housing Wire – “Barney Frank says mortgage interest tax deduction is safe” (3-31-11)

“Rep. Barney Frank (D-Mass.) said at a House subcommittee hearing Thursday that the mortgage interest tax deduction would be safe. Currently, interest on a mortgage taken out to buy or improve a home can be fully deducted if the amount of the loan is less than $1 million for married couples and $500,000 for singles. Home equity loans taken out for anything else is limited to $100,000 for couples and $50,000 for singles.”

Housing Wire – “Freddie Mac mortgage interest rates inch up this week” (3-31-11)

“The government-sponsored enterprise said its primary mortgage market survey showed the average rate for a 30-year, fixed mortgage rose to 4.86% for the week ending Thursday from 4.81% a week earlier. The average rate for a 15-year, fixed mortgage increased to 4.09% from 4.04 the prior week, according to the Freddie Mac survey.”

Housing Wire – “Judge dismisses securities fraud case against Freddie” (3-31-11)

“A federal district court judge in New York dismissed a lawsuit filed by Southeast and Southwest Areas Pension Fund and National Elevator Industry Pension Plan — two Freddie investors, who allege Freddie mislead a class of investors after experiencing a $2 billion loss for the third quarter of 2007 by ‘materially misrepresenting Freddie’s exposure to risky mortgage products.’”

Looking Back:

One year ago, Mortgage loan application volume increased by 1.3 percent from the previous week. Vacation home sales increased by 7.9 percent in 2009. Fannie Mae reported the percentage of seriously delinquent loans increased to 5.52% in January. FHA allowed mortgages to borrowers who sold their residence under short-sale provisions and then purchase a new home without the standard 3 year wait.

The Norris Group Real Estate News Roundup 3/30/11

aaron — Wed, 30 Mar 2011 22:10:42 +0000

Today’s News Synopsis:

The NAR said vacation home sales accounted for 10% of all transactions in 2010. A new proposal may force lenders to allow short sales for delinquent homeowners. The House voted 252 to 170 end funding for HAMP. CoreLogic estimates there are 1.8 million homes in the shadow inventory.

In The News:

NAR - “Vacation- and Investment-Home Shares Hold Even in 2010″ (3-30-11)

“vacation-home sales accounted for 10 percent of transactions last year while the portion of investment sales was 17 percent, both unchanged from 2009.”

Mortgage Bankers Association – “Mortgage Applications Decrease in Latest MBA Weekly Survey” (3-30-11)

“Mortgage applications decreased 7.5 percent from one week earlier, according to data from the Mortgage Bankers Association’s Weekly Mortgage Applications Survey for the week ending March 25, 2011.”

Los Angeles Times – “Proposed settlement would force banks to allow short sales for delinquent homeowners” (3-30-11)

“Major banks may be forced to let severely delinquent homeowners sell their houses for less than the loan amounts owed as part of a broad settlement of federal and state investigations into botched foreclosure paperwork, according to government officials involved in the negotiations.”

CNN - “House votes to kill Obama mortgage plan” (3-30-11)

“The House voted 252 to 170 to stop any new funding for the Home Affordable Modification Program (HAMP). Eleven Democrats joined Republicans to defund the program.”

Housing Wire – “Job gains barely beat estimates on the long road back to pre-recession levels” (3-30-11)

“While the economy gained 201,000 private sector jobs last month, those additions are not enough to set the pace for a rapid economic or housing recovery, analysts say.”

Bloomberg - “Lenders Could Get Exemptions Under New Risk-Retention Rule” (3-30-11)

“U.S. regulators proposed exempting banks and bond issuers who meet high underwriting standards from rules requiring them to keep a stake in loans they securitize, according to a draft proposal.”

Bloomberg - “U.S. Home ‘Shadow Inventory’ Totals Nine Months of Supply, CoreLogic Says” (3-30-11)

“About 1.8 million homes that are delinquent or in foreclosure loom as additional supply for the struggling U.S. housing market, according to CoreLogic Inc.”

Housing Wire – “CBO drops estimate of TARP cost to $19 billion” (3-30-11)

“The Troubled Asset Relief Program will end up costing taxpayers $19 billion, according to the latest estimate Wednesday from the Congressional Budget Office.”

Housing Wire – “‘Too big to fail’ legacy lives on: Rosner” (3-30-11)

“government intervention in 2008 forced bank mergers and acquisitions, leaving the financial market in the control of the nation’s largest financial firms.”

Looking Back:

One year ago, national home prices decreased by 0.7 percent from the previous year. Fannie Mae and Freddie Mac estimated that mortgage rates would rise less than a quarter of a percentage point in the next three months. Interest rates on conventional 30-year FRMs increased to 5.13% in February 2010. The US Treasury Department announced it would allocate $600 million to HFA for foreclosure prevention programs in California, Florida, Arizona, Michigan and Nevada.