Today’s News Synopsis:
Mortgage rates decreased slightly after being at high numbers for four months; 30-year rates now stand at 4.2% and 15-year rates 3.36%. Negative equity decreased in the second quarter to almost single-digits while borrower equity increased by $1 trillion. The median price for distressed homes increased in August both month-over-month and year-over-year.
In The News:
Housing Wire – “Nevada Supreme Court ruling could jeopardize first mortgage liens” (9-25-14)
“Matt Martin Real Estate Management is sounding the alarm that a recent decision by the Nevada Supreme Court could substantially impact the security of first mortgage lien holders.”
DS News – “Underwater Rate Dips; Borrower Equity Jumps by $1 Trillion” (9-25-14)
“The nation’s negative equity rate dipped closer to single digits in the year’s second quarter, though nearly one in five borrowers remain poorly positioned, according to new data released Thursday.”
Bloomberg – “U.S. Mortgage Rates Drop From a Four-Month High” (9-25-14)
“Mortgage rates in the U.S. dropped from a four-month high, reducing borrowing costs as demand for housing improves. The average rate for a 30-year fixed mortgage was 4.2 percent this week, Freddie Mac said in a statement today.”
Housing Wire – “Black Knight: Delinquency rate jumps almost 5% to highest since February” (9-25-14)
“The mortgage delinquency rate jumped nearly 5% in August, reaching its highest point since February, the Data and Analytics division of Black Knight Financial Services reported in its “first look” at August 2014.”
DS News – “CFPB Official Discusses New Servicing Rules” (9-25-14)
“A recurring theme during many of the six labs at the Five Star Conference earlier this week was compliance and how it has changed the mortgage and real estate industries in the last few years.”
OC Housing News – “People who lost their homes in foreclosure moved in next door” (9-25-14)
“What happens to people who lose their house in foreclosure? Do they end up homeless and destitute? Do they resort to a life of crime or prostitution? Is foreclosure the end of modern civilization as we know it? People who were trying to prevent foreclosures proffered all of these fallacious reasons why we needed to stop foreclosures and give delinquent borrowers principal reductions or free houses.”
Mortgage Professional America – “Minority mortgages hit 13-year low” (9-25-14)
“The share of mortgages made to African-American and Hispanic borrowers to buy homes has hit a 13-year low, according to recently released federal data collected from mortgage lenders under the Home Mortgage Disclosure Act.”
DS News – “Distressed Home Sale Prices Increase in August” (9-25-14)
“The August median price of U.S. distressed homes climbed both monthly and annually, according to RealtyTrac’s August 2014 U.S. Residential and Foreclosure Sales Report released on Sept. 25.”
Housing Wire – “Home-price growth in August slows in 18 of 20 largest housing markets” (9-25-14)
“Home-price growth is slowing even as the sales of homes under $200,000 slip and the share of home sales above the $500,000 price point grow, according to the August home report from RealtyTrac.”
Realty Times – “Education Thwarting Homeownership For Younger Households” (9-25-14)
“Was it worth it? That may be the question being asked by about 5.9 million households between the ages of 20 to 40 who incurred student college loan debt and are still paying it down today to the tune of about $250 or more each month.”
Realty Trac – “Student Loan Debt Curbing Housing Market” (9-25-14)
“The residential real estate market’s foundation is beginning to wobble. And crushing student debt is curbing the nascent real estate recovery, according to a new report by John Burn Real Estate Consulting.”
On Friday, October 24, Bruce Norris will be presenting the 7th annual I Survived Real Estate 2014.
Bruce Norris of The Norris Group will be holding his Property Buying Boot Camp Tuesday-Thursday, November 11-13.
In a big news story, Governor Jerry Brown signed a bill into law that would increase the minimum wage to $10 an hour. U.S. home sales increased 7.9% in August after having plummeted 14.1% in July. In addition, home prices also made a comeback in one-fifth of the top markets in the United States.
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.