Today’s News Synopsis:
Big week in the news. Mortgage interest rates are continuing to decrease and are now at 3.53%, down from 3.56% the week prior. Unemployment claims increased 34,000 to 386,000, the highest they have been in four weeks. Existing home sales decreased 5.4% to 4.37 million last month, although this number was actually 4.5% higher than last year. Median home prices increased 7.9% from last year and are at their highest level since 2008.
In The News:
Housing Wire – “Mortgage interest rates keep going down” (7-19-12)
“Interest rates continued dropping last week, creating a housing market where buyers searching for cheap credit can find plenty of it.”
DS News – “Initial Jobless Claims Rebound to 4-Week High” (7-19-12)
“First-time claims for unemployment insurance rose 34,000 for the week ended July 14 to 386,000 – the highest level in four weeks – the Labor Department reported Thursday.”
Bloomberg – “Home Sales to Factories Point to Second-Half Weakness: Economy” (7-19-12)
“Sales of existing U.S. homes unexpectedly dropped and manufacturing in the Philadelphia region contracted for a third month, showing economic weakness is extending into the second half of the year.”
DS News – “Median Price for Existing Home at Highest Level Since 2008” (7-19-12)
“The median price of an existing single family home rose in June to the highest level since almost four years, the fifth straight month-month gain, the National Association of Realtors (NAR) reported Thursday.”
Housing Wire – “Home prices rise, sales fall on limited inventory” (7-19-12)
“Total existing home sales declined 5.4% to a seasonally adjusted annual rate of 4.37 million in June from 4.62 million the month before. Existing sales in June were 4.5% higher than the 4.18 million units sold a year earlier.”
“The National Association of Home Builders (NAHB) told Congress today that an unwieldy federal regulatory process is hampering the housing and economic recovery.”
Bloomberg – “Housing Crisis Sees 1.5 Million Older Americans Lose Their Homes” (7-19-12)
“More than 1.5 million Americans aged 50 or more have lost their homes since the collapse of the housing market in 2007 as delinquency rates and foreclosures soar, according to advocacy group AARP.”
DS News – “Study Reveals Customers Are More Satisfied with Servicers” (7-19-12)
“Servicers received higher scores from customers this year compared to 2011, according to a study from J.D. Power and Associates Thursday.”
Bloomberg – “AIG Scorned by Old Republic for Insuring Homes Loans: Mortgages” (7-19-12)
“American International Group Inc. (AIG), the insurer bailed out by U.S. taxpayers, is investing in home- loan insurance, a business that Aldo Zucaro, chief executive officer of rival Old Republic International Corp. (ORI), said doesn’t make sense.”
Moreno Valley, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $105,000 on a 4 bedroom, 2 bathroom home appraised for $175,000.
Bruce Norris of The Norris Group will be at the AREAA 2012 Home Buyer & Real Estate Investment Fair Saturday, July 21, 2012.
Bruce Norris of The Norris Group will be at the InvestClub for Women in Los Angeles Tuesday, September 18, 2012.
The Norris Group posted a new event. Bruce Norris of The Norris Group will be at the InvestClub for Women in Orange County Wednesday, September 19, 2012.
In a big story, the construction of new homes increased 14.6% in the month of June 2011. Unfortunately, mortgages were down to a new low in four years with a 19% decrease in the second quarter of 2011. A new law, SB 458, was signed into law on Friday that would bring changes to short sales.
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.