Today’s News Synopsis:
Mortgage rates decreased again according to Freddie Mac with 30-year rates now at 3.8% and 15-year rates at 3.09%. The HUD program is facing delays again after Secretary Julian Castro said funding towards the program is holding people back from owning homes. Insurance policies totaling $155 million was just taken care of by Freddie Mac in order to help decrease liability for taxpayers.
In The News:
Los Angeles Times – “Mortgage rates drop to new low for the year, Freddie Mac says” (12-18-14)
“Mortgage rates have hit a fresh low for the year. The average for a 30-year fixed loan fell to 3.80% this week, down from 3.93% a week earlier, mortgage company Freddie Mac said Thursday. Lenders, meanwhile, offered a 15-year fixed mortgage at 3.09%, compared to 3.20% last week.”
Housing Wire – “Freddie Mac offloads $155 million of credit risk to insurers” (12-18-14)
“As part of its continuing effort to limit the American taxpayers’ liability, Freddie Mac obtained a number of insurance polices designed to cover almost $155 million in potential losses from a pool of single-family loans acquired in the third quarter of 2013.”
DS News – “Senators Ask FHFA to Revisit FHLBank Membership Requirements” (12-18-14)
“Twenty-seven senators have signed a letter addressed to Federal Housing Finance Agency (FHFA) Director Mel Watt asking him to reconsider the stricter membership requirements for the Federal Home Loan Banks the Agency proposed in September.”
Bloomberg – “Mortgage Bankers Say FHA Premium Increases Hurt Its Finances” (12-18-14)
“Premium increases intended to shore up the U.S. government’s mortgage-insurance fund have reduced its value by $4.4 billion as higher costs drove away creditworthy borrowers, the Mortgage Bankers Association said.”
Mortgage Professional America – “Congress delays HUD program” (12-18-14)
“The U.S. Housing and Urban Development (HUD) Secretary Julián Castro has responded to HUD’s 2015 budget of $45 billion stating that while it does help some of its initiatives, the funding limits the goal of homeownership for some American families.”
Housing Wire - “Prime jumbo non-agency RMBS issuance grows slowly in 2015″ (12-18-14)
“The U.S. housing market has been recovering, and residential mortgage collateral performance continues to improve, a trend that Standard & Poor’s expects to continue in 2015.”
Bloomberg - “Ocwen Said to Have Stalled Home Sales by Underwater Borrowers” (12-18-14)
“Ocwen Financial Corp. (OCN) is being examined over whether it improperly stalled short sales by borrowers who owe more than their homes are worth, according to two people briefed on the case, as troubles deepen for the mortgage servicer whose stock has slumped 60 percent this year.”
Mortgage Professional America – “Two big banks sued over shoddy mortgage securities” (12-18-14)
“A U.S. credit union regulator has filed a lawsuit against two major banks over shoddy mortgage securities they sold during the run-up to the financial meltdown.”
Bruce Norris of The Norris Group will be speaking at Prosperity Through Real Estate presenting How to create a $100,000 Payday Per Deal in 2015 on Tuesday, January 6.
Bruce Norris of The Norris Group will be speaking at CVREIA presenting How to create a $100,000 Payday Per Deal in 2015 on Wednesday, January 14.
Bruce Norris of The Norris Group will be presenting his newest talk 2015: Proceed with Caution on Saturday, January 31
The NAHB reported builder confidence for new single-family homes increased by four points to 58. The increase in home prices led to 791,000 properties being brought out of negative equity, although 6.4 million remained underwater. The FHFA reported HARP refinances decreased in the third quarter to less than 900,000 despite the increase in interest rates.
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