Sources:
Bay Area Housing Market Stuck In Neutral; Investors, Cash Buyers Active
California February Home Sales
Southland February Home Sales At 3-year Low; Investor Interest High
Foreclosure activity slows in February: ForeclosureRadar
California Foreclosure Losses in Billions, Lawmaker Wants Banks to Pay
Congressional Panel Report Says Foreclosure Mitigation “Largely Failed”
Internet whistle-blower e-mails show loose link to Bank of America
GSEs inflated subprime balloon before it popped: Cato Institute
A Red Flag on Reverse Mortgages
Young Home Buyers Will Lead Housing Market Recovery, Says NAHB
Today’s News Synopsis:
The SEC may charge top executives of Fannie and Freddie with violations related to the financial crisis. RCA claims commercial real estate defaults dropped to 4.28% in the 4th quarter. The Bureau of Labor Statistics reports Southern California rents rose by 1.3% in February. According to Freddie Mac, 30 year mortgage rates fell to 4.76% this week.
In The News:
Washington Post – “SEC moves to charge Fannie, Freddie execs” (3-18-11)
“The Securities and Exchange Commission is moving toward charging former and current Fannie Mae and Freddie Mac executives with violations related to the financial crisis, setting up a clash with the housing regulator that oversees the companies, according to sources familiar with the matter.”
Housing Wire – “Bill would provide HUD grants for foreclosure mediation” (3-18-11)
“Under the bill, HUD would create a competitive grants program for state and local governments to provide mediation programs to assist homeowners facing foreclosure. It would refer homeowners to a pro-bono attorney or a HUD-certified counselor. It would also require mediation between the homeowner and the lender as soon as practicable after a foreclosure proceeding is filed. If the homeowner doesn’t show up for the mediation, the requirement for a mediation conference is deemed to be fulfilled, according to the bill.”
Housing Wire – “CRE defaults fell for first time in four years in 4Q: RCA” (3-18-11)
“Commercial real estate defaults fell to 4.28% in the fourth quarter, down from 4.36%, according to RCA. The New York-based analytics firm also reported that defaulted loan balances fell to $45.8 billion after 17 consecutive quarterly increases.”
San Francisco Chronicle – “Field Poll: Quality of life plunges in California” (3-18-11)
“The Golden State’s residents rated their quality of life at its lowest mark in almost 20 years, citing the economic downturn and stagnant personal finances, according to a joint UC Berkeley and Field Poll.”
Housing Wire – “House Republicans introduce bill to reform Fannie, Freddie” (3-18-11)
“Rep. Jeb Hensarling (R-Texas) re-introduced legislation late Thursday that would end the bailouts of Fannie Mae and Freddie Mac and end their conservatorship in two years.”
Housing Wire – “Republican senators join fight to end HAMP” (3-18-11)
“Three Republicans submitted a bill in the U.S. Senate that would end the Home Affordable Modification Program, a companion to a bill that is scheduled for a vote in the GOP-controlled House of Representatives next week.”
Orange County Register – “SoCal rents rise for 6th straight month” (3-18-11)
“Rents in Southern California — at least, as measured by the local version of the Consumer Price Index — were rising in February at a 1.3% annual rate, according to the Bureau of Labor Statistics. That rise compares to an increase at a 1.1% annual rate in the previous month. It was the sixth consecutive month of year-over-year increases and the biggest jump since July 2009 when rents were rising at a 1.7% annual rate.”
Realty Times – “30-Year Fixed-Rate Mortgage Drops Amid Japan Crisis” (3-18-11)
“Freddie Mac (OTC: FMCC) today released the results of its Primary Mortgage Market Survey (PMMS), which shows the 30-year fixed-rate dropping to 4.76 percent while the 15-year fixed-rate hit its lowest rate at 3.97 percent since December 2010.”
Looking Back:
One year ago, statistics from MDA Dataquick showed that 4,987 homes and condos closed escrow within a month. Fannie Mae predicted the housing market would bounce back by the end of the year. Freddie Mac’s weekly survey showed that interest rates were at 4.96 percent, which was just .02 percent lower from the previous year. The MBA reported that commercial/multifamily mortgage debt decreased by 1.7 percent in the 4th quarter of 2009.
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California Real Estate Investing News is a post from: The Norris Group