February 18, 2010

Housing Starts Rise 2.8%

Author: admin - Categories: Home Construction, Home Financing News, Housing Spotlight, New Home Starts, Real Estate News

Amid a trickle of economic reports like improved retail sales and declining credit card delinquency rates, most Wall Street analysts braced themselves for mixed real estate news, but the new home construction data released was welcomed. The AP announced Wednesday’s latest figures on the housing market and the good news spread quickly online.
According to the Department of Commerce, housing starts were up 2.8% in January to a seasonally adjusted 591,000 units, reversing a weather-related dip in December. The 21.1% year-over-year gain was the best monthly increase since April 2004.

Building permit applications dropped by 4.9% after two months of strong increases, but Burt White, chief investment officer for LPL Financial, said the disparity between the figures is likely a weather-related anomaly. Despite the volatility in housing data, the improvement points to a stronger economic backdrop. “It’s a good indication that Americans are beginning to reinvest again,” said White. “The biggest investment people make is in their homes.”

According to national FHA lenders, real estate financing continues to be supported by government loan programs like FHA, VA and Home Path, to name a few. Current mortgage interest rates remain at record levels with 30-year fixed rate mortgages still available below 5%. While the consumer won’t be at the fore of this recovery, housing starts did hit their highest level in six months–an indication that consumers are becoming more confident and comfortable with spending.

October 13, 2009

California Home Markets Driven by Short Sales and Foreclosures

Author: admin - Categories: California Real Estate News, Foreclosure Prevention, Home Financing News

For California short sales we are anticipating at another two or three years of strong activity,” said Jim Satterwhite, chief operating officer of National Quick Sale, a Jacksonville, Florida-based company that negotiates short sales on homes that are valued less than what they are mortgaged for.  Loan modification agreements, foreclosure prevention and bad credit refinancing continue to drive up the traffic for loan applications.  “Some mortgage refinance markets have seen better price stability, but they are not going up yet. But it will still be two or three more years before housing even starts to appreciate in some other markets,” he said.

August 12, 2009

Home Loan Applications Drop

Author: admin - Categories: Home Financing News, Mortgage News, Real Estate News

According to the Mortgage Bankers Association mortgage rates rose last week and the response was a lower volume of new loan applications. The volume of mortgage loan applications declined 3.5% compared with the previous week. Home loan applications filed were still up an unadjusted 16.1% for the week ended Aug. 7 from the same week in 2008, according to the MBA’s weekly survey. FHA home loan applications filed last week to purchase homes rose 1.1% from the week before. Volumes for conforming, FHA and VA loan applications were all lower than expected.

Mortgage refinancing applications to refinance existing home mortgages decreased 7.2%, on a week-to-week basis, reversing the 7.2% increase during the week ended July 31, according to the Washington-based MBA. The four-week moving average for all mortgages was down 0.7%. Home refinancing applications made up 52.3% of all applications last week, down from 54.2% the previous week. ARM mortgage loans accounted for 5.8%, up from 5.4%. Read the complete article online> Mortgage Loan Application Activity Slowing