Today’s News Synopsis:
In a big news story, the president and CEO of Fannie Mae, Michael Williams, is expected to resign. According to the latest Zillow report, the values of homes in the United States decreased almost 5% year-over-year and are now at the level they were at in 2003. HOPE NOW said a lot fewer loans were modified than last year, but on a positive note the number of loan modifications did increase in November from October.
In The News:
CNN Money - “Turning foreclosures into rentals” (1-9-12)
“Federal officials hope to launch a pilot program in early 2012 to convert government-owned foreclosures into rental properties. The program, which was cited by Federal Reserve Chairman Ben Bernanke last week as one way to address the housing crisis, would sell foreclosed homes now owned by Fannie Mae (FNMA, Fortune 500) and Freddie Mac (FMCC, Fortune 500) to investors in bulk. The properties would then be converted into rentals.”
DS News – “Suspected Mortgage Fraud Continues to Rise, But at Slower Pace” (1-10-12)
“Suspicious activity reports (SARs) involving fraud in the financial industry rose from 1.32 million in fiscal 2010 to 1.45 million in fiscal 2011, according to the latest annual report from the Financial Crimes Enforcement Network (FinCEN), based in Vienna, Virginia.”
Housing Wire – “Zillow: Home values in November back at 2003 levels” (1-10-12)
“Home values in the United States in November remained flat with the prior month but declined 4.6% from last year, according to the latest real estate markets report from Zillow Inc. (Z: 24.19 +5.04%).”
Bloomberg - “Manhattan’s Office Leasing Reaches 11-Year High, Cushman & Wakefield Says” (1-10-12)
“Manhattan office leasing climbed 16 percent last year as tenants agreed to occupy the most space in more than a decade, Cushman & Wakefield Inc. said.”
Realty Times - “New California Law Protects Tenants’ Political Signs” (1-10-12)
“Any discrimination that prevents freedom of expression, based on whether or not you own property is a denial of rights that belong to all people.” That’s what California State Senator Christine Kehoe said in advocating her bill, Senate Bill 337, during the recent session of the California Legislature. The aim of SB 337 was to prevent landlords from forbidding their tenants to post political signs on the property that they rent.”
DS News – “Fannie Mae CEO to Resign” (1-10-12)
“Michael Williams has decided to step down from his position as CEO and president of Fannie Mae, the GSE announced today.”
“Up until now, one of the few things home builders had in common with football players was that builders constructed the houses where millions of families watched their favorite NFL teams compete each week. But with Touchdown for Homes, a charitable outreach program of the National Association of Home Builders and the NFL Players Association, home builders and former NFL players are teaming up around the country to build or renovate homes for children or families in need and veterans.”
Housing Wire - “2011 mortgage modifications fall short of previous year” (1-10-12)
“Mortgage servicers are on track to modify far fewer loans in 2011 than the previous year, according to the most recent data provided by the Hope Now alliance formed by these firms and others in the industry.”
DS News - “Loan Mods and Delinquencies Rise in November: HOPE NOW” (1-10-12)
“The number of mortgage modifications completed during the month of November rose 5 percent from October, bringing the year-to-date total to about 969,000, according to HOPE NOW, a voluntary private sector alliance of mortgage industry participants.”
CNN Money - “Federal Reserve pays $77 billion to Treasury” (1-10-12)
“Ben Bernanke is about to hand Timothy Geithner a very large check. The Federal Reserve announced Tuesday that it plans to pay the Treasury $76.9 billion, the bulk of the Fed’s 2011 income after accounting for its own operating expenses.”
San Francisco Chronicle - “Encumberances And Nonpossessory Interests In Real Property” (1-10-12)
“Property is a legal concept that grants and protects a person’s exclusive right to own, possess, use and dispose of a thing. The term property does not suggest a physical item, but describes a legal relationship of a person to a thing.”
Hard Money Loan Closed
Lancaster, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $50,000 on a 3 bedroom, 1 bathroom home appraised for $106,000.
The Norris Group posted a new event. The Norris Group will be at the Real Estate Investor Rewind at CVREIA on January 10, 2011.
Bruce Norris will be speaking at the Apartment Owners Association-Discover Wealth Strategies for 2012 Los Angeles on January 12, 2012.
According to the Federal Reserve Board, the amount of net income reserve banks took in was 34% higher than the previous year. The Federal Reserve Board, in turn, made a profit of $78.4 the previous year, the largest profit it had made in several years. The then recent ruling by the Massachusetts Supreme Court was not expected to change foreclosure practices drastically but rather opens the door to allow trustees to hold mortgages.
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.