Today’s News Synopsis:
The FBI said property crimes have dropped 2.5% in the West. A new study shows that homeowners at least two-months delinquent on their mortgage are more likely to strategically default. The Treasury Department released a free online calculator that provides borrowers with an estimate of whether or not they qualify for HAMP. Homeowner insurance premiums are increasing across multiple states.
In The News:
Los Angeles Times – “California creating mortgage fraud task force” (5-23-11)
“California Atty. Gen. Kamala Harris, saying that years of unscrupulous lending still haunts the state, is creating a 25-person task force to target mortgage fraud of any size — from small operations that preyed on troubled borrowers to corporations that sold risky loans as safe investments.”
Housing Wire – “FBI: Property crimes down across the board in 2010″ (5-23-11)
“Property crimes decreased in each region of the country with a 3.8% drop in the South; a 2.7% decline in the Midwest; a 2.5% reduction in the West; and a 0.5% dip in the Northeast. The FBI said property crimes fell the deepest in cities with populations of more than 500,000 and less than 1 million with a 4% drop.”
Housing Wire – “Watch for strategic defaulters, economists suggest after studying Countrywide data” (5-23-11)
“Homeowners at least two-months delinquent on their mortgage may be more apt to strategically default if offered a mortgage modification despite the damage to their credit.”
Bloomberg – “U.S. Commercial Real Estate Prices Decline to Post-Crash Low, Moody’s Says” (5-23-11)
“The Moody’s/REAL Commercial Property Price Index dropped 4.2 percent from February and is now 47 percent below the peak of October 2007, Moody’s said in a statement today.”
Dr. Housing Bubble – “FHA insured loans now cross a giant tipping point exceeding $1 trillion in book value at risk.” (5-22-11)
“The FHA total book value of loans has soared to over $1 trillion. These are loans made with 3.5 percent down payments and carry laxer lending standards. So it should be no surprise that defaults for FHA insured loans are hitting record levels.”
Housing Wire – “CMBS issuance to top $40 billion in 2011″ (5-23-11)
“Commercial mortgage-backed securities are gaining steam with $9 billion issued in the first four months of the year and $40 billion expected by the end of 2011, according to Jones Lang LaSalle”
Housing Wire – “Treasury puts HAMP eligibility calculator online” (5-23-11)
“The Treasury Department on Monday released a free calculator online that will provide borrowers an estimate on whether or not they qualify for the Home Affordable Modification Program.”
Wall Street Journal – “Homeowner’s Insurance Premiums Are Rising” (5-22-11)
“After five years of relatively stable premiums, some of the country’s biggest insurers have raised rates or say they plan to. Premiums vary by state, but last year, State Farm Mutual Automobile Insurance says it increased homeowners rates 7.3% on average and, this year, has raised them in 18 states, including a few by more than 7%. It cut rates in just two states.”
Orange County Register – “Homebuilders ‘coming out of hibernation’” (5-23-11)
“At least 28 new housing developments either have opened since the fall or will be open by next fall, a Register survey of local builders shows. Those projects include more than 3,000 houses, townhomes and duplexes. By comparison, fewer than 2,000 building permits were issued for such homes in the same period in 2009-10, and only around 1,600 were issued in 2008-09.”
Orange County Criminal Attorneys Blog – “SCOTUS: California Must Release More Than 1/4 of Prisoners” (5-23-11)
“California must address its overcrowding crisis by releasing over 1/4 of its prison imnate population, according to the Los Angeles’ Times Supreme Court orders California to release tens of thousands of prison inmates. In a 5-4 decision written by Justice Kennedy, the SCOTUS has upheld a federal court order that called for releasing 38,000 to 46,000 prisoners.”
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