Today’s News Synopsis:
Another bank closed in Georgia last weekend, bringing the new total now to 39. More mortgage investors are concerned about the amount of money being charged for government-backed securities and are instead reverting to using more expensive but less risky bonds. Only 1/3 of mortgage bond investors interviewed by JP Morgan Securities expect to see growth in the housing market despite promising signs.
In The News:
DS News – “Ninth Bank in Georgia Crashes Over Weekend; National Tally at 39” (7-30-12)
“Regulators closed Jasper Banking Company of Jasper, Georgia over the weekend, leading to 9 fallen banks in the state and 39 bank failures nationwide so far this year.”
Bloomberg – “Refinancing Anxiety Pushes Protection Costs to Record: Mortgages” (7-30-12)
“Mortgage investors, anxious over the record prices of government-backed securities, are paying unprecedented extra amounts for the types of bonds considered the least likely to prepay quickly, such as those backed by loans of less than $85,000.”
Realty Times – “Real Estate Outlook: Home Sales Decline in June” (7-30-12)
“Existing home sales fell in June according to the National Association of Realtors (NAR). Already tough conditions were tightened further by a tight supply of affordable homes for first-time buyers.”
Housing Wire – “Mortgage bond investors doubtful house prices leveled” (7-30-12)
“Despite a flurry of reports and articles about home prices stabilizing or slightly increasing, only a third of mortgage bond investors interviewed by JPMorgan Securities ($36.05 -0.84%) expect significant home price growth in the near future.”
Inman – “Refi plan would target 8 million underwater borrowers” (7-30-12)
“Treasury Secretary Timothy Geithner says he likes the design of a plan proposed by an Oregon senator to establish a temporary government-backed trust that would allow about 8 million underwater borrowers to refinance at a lower interest rate at no cost to taxpayers.”
CNN Money – “Investors await central bank action” (7-30-12)
“Investors were unwilling to make any big bets Monday, waiting to see if there will be further stimulus announced by U.S. and European central bankers later this week.”
Bloomberg – “Housing Slump Not Over, Mortgage-Bond Investors Say in Survey” (7-30-12)
“Mortgage-bond investors aren’t convinced that the U.S. housing bust is over, according to a survey by JPMorgan Chase & Co.”
DS News – “Phoenix Prices Gain as Foreclosure Resales Dwindle: DataQuick” (7-30-12)
“After being known as one of the hardest-hit cities, Phoenix has been gaining recognition for its rapidly rising prices.”
Banning, California hard money loan closed by The Norris Group private lending. Real estate investor received loan for $55,000 on a 3 bedroom, 1.5 bathroom home appraised for $104,000.
Bruce Norris of The Norris Group will be at the Inland Empire Investors Forum Tuesday, August 28, 2012.
Bruce Norris of The Norris Group will be at the Los Angeles Commercial Real Estate Forum Thursday, August 30, 2012.
Bruce Norris of The Norris Group will be at the Real Estate Investment Expo in Santa Clara Saturday, September 8, 2012.
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.