Norris Bruce
Aug 14, 2015

Mortgages More Affordable Than Renting?

 

 

Sources:

 

Today’s News Synopsis:

 

In this week’s video Aaron Norris gives the news of the week in the world of real estate.  Zillow’s latest research shows mortgages are becoming more affordable than renting.  Beginning this Monday, those who are doing mortgage business with the FHA will be required to register on their appraisal portal.  Citizen Bank has been ordered by regulators to pay $18.5 million in penalties for intentionally mismanaging the money for their clients.

 

In The News:

NAHB “Rising Home Values Affect Affordability in Second Quarter” (8-13-15)

“Firming home prices in many housing markets resulted in a modest drop in nationwide housing affordability in the second quarter of 2015, according to the National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI) released today.”

DS News – “Fannie Mae and Freddie Mac Are Turning Up Efforts to Sell Non-Performing Loans” (8-14-15)

“As they promised earlier this year, Fannie Mae and Freddie Mac have intensified their efforts in the last few months to rid their single-family residential mortgage portfolios of deeply delinquent, non-performing loans (NPLs).”

Mortgage Professional America – “Morning Briefing: Renting less affordable, mortgages better option” (8-14-15)

“Renting is becoming less affordable in many metros while mortgages remain affordable. New research from Zillow shows that in three quarters of major US markets rent is unaffordable, with renters paying at least 30 per cent of their income in rent.”

Housing Wire “Mandatory registration for FHA’s appraisal portal begins Monday” (8-14-15)

“Attention all mortgagees approved to do business with the Federal Housing Administration: mandatory registration for the FHA’s new Electronic Appraisal Delivery portal begins on Monday, Aug. 17.”

Mortgage Professional America – “CFPB orders bank to pay millions in penalties” (8-14-15)

“Regulators have ordered Citizen Bank to pay $18.5 million for applying the crudest calculations to client accounts and pocketing the change.  “Citizens Bank regularly denied customers the full credits of their deposits when there were discrepancies between deposit slips and the actual money transferred into the bank,” CFPB Director Richard Cordray said in a release.”

DS News – “Economic Growth Expected to Slow Down As Unemployment Stays Level” (8-14-15)

“Forecasters expect U.S. economic growth to slow down slightly over the next four years as unemployment remains steady.  According to the Q3 2015 Survey of Professional Forecasters by the Federal Reserve Bank of Philadelphia, 42 forecasters expect real GDP to grow at an annual rate of 2.7 percent this quarter and 2.8 percent next quarter.”

Mortgage Professional America – “More than half of Americans likely to buy a home in next 5 years – survey” (8-14-15)

“More than half of Americans say they are likely to buy a home in the next five years, according to a new report.  A survey conducted for the 2015 BMO Harris Bank Homebuyers Report found that 52% of Americans say they’re likely to purchase a home in that timeframe. Survey respondents said they were willing to pay an average of $296,000 for a home and an average down payment of 21%.”

 

Hard Money Loan Closed

Perris, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $150,000 on a 4 bedroom, 3 bathroom home appraised for $223,000.

Perris Hard Money Loan closed by the Norris Group

 

California Real Estate Investor Events

Bruce Norris of The Norris Group will be giving his Secrets to Becoming Wealthy with Tony Watson on Tuesday, August 18.

Bruce Norris of The Norris Group will be presenting his How to Create a $100,000 Payday Per Deal in 2015 on Wednesday, August 19.

Bruce Norris of The Norris Group will be presenting the 8th annual I Survived Real Estate 2015 on Friday, October 16.

 

Copyright: Image from www.flickr.com/photos/29456235@N04/

 

Looking Back:

New home purchase applications increased the previous month by 2% according to a recent survey released by the Mortgage Bankers Association.  Foreclosures also increased 2% month-over-month in July, although year-over-year they were down 16%.  Fannie Mae believed 80% of lenders would not be pursuing non-QM loans as they said the QM rules had little impact on their business.

 

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.

 

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