By Mike Colpitts For the first time in more than a year, mortgage rates have risen three straight weeks as growing instability over the U.S. economy jittered bond markets. U.S. Treasuries rose from a record low of 1.38% on the benchmark 10-year bond to more than 1.85%. The increased yield is good news for investors… Continue reading Mortgage Rate Hike Threatens Housing Recovery
Category: Banks
Home Sale Inventory Slashed to 6 Months
By Mike Colpitts The dog days of summer usually bring a frenzy of home sales activity, but a reduced inventory of homes to sell in many regions of the U.S. is slowing sales, despite record low mortgage rates. The inventory has been slashed to just a 6.6 month supply, which would usually be a positive… Continue reading Home Sale Inventory Slashed to 6 Months
Housing Sparks Structural Problems, Despite Record Low Mortgages
By Mike Colpitts Problems with the U.S. housing market are more structural than cyclical in nature, analysts contend as the nation faces another round of quantitative easing in store from the Federal Reserve. Record low mortgage rates and the lowest home prices in years aren’t enough to turn around ailing real estate markets. Home values… Continue reading Housing Sparks Structural Problems, Despite Record Low Mortgages
Fannie Mae, Freddie Mac to Unload Distressed Mortgages
By Mike Colpitts Mortgage giants Fannie Mae and Freddie Mac are expected to start unloading hundreds of thousands of distressed mortgages following a Treasury Department announcement ordering the reduction of troubled mortgages. Despite a political bottleneck in Congress over how to handle the two lenders, the action “will help expedite the wind down of Fannie… Continue reading Fannie Mae, Freddie Mac to Unload Distressed Mortgages
Underwater Refinancing Program to Expand
By Ryan Jackson A larger number of underwater homeowners with mortgages hoping to take advantage of all-time record low mortgage rates may be able to refinance under a program that is scheduled to be expanded by the U.S. government. An estimated 1.3 million homeowners have already refinanced through the government’s Relief Refinance Mortgage Program, which… Continue reading Underwater Refinancing Program to Expand
15 Year Mortgages Gain Broad Appeal
By Mike Colpitts Fixed 15-year mortgages, once thought to be the impossible for most homeowners to afford, are gaining ground in the current economy at never before seen levels. Homeowners refinancing homes and new home purchases are increasingly opting for the loans. The mortgages cut the number of years it takes to pay off a… Continue reading 15 Year Mortgages Gain Broad Appeal
Effort to Increase Mortgage Lending Launched
By Mike Colpitts A new product designed to increase mortgage lending and aid bankers in their risk taking decisions is being launched by real estate research firm CoreLogic in conjunction with FICO. The credit scoring product evaluates traditional credit data from consumer credit files and adds a new series of dimensions to more accurately reflect… Continue reading Effort to Increase Mortgage Lending Launched
Home Buyer Traffic Tumbles
By Mike Colpitts Home buyer foot traffic in new housing developments tumbled in May, indicating future home sales are expected to weaken, according to the latest Campbell-Inside Mortgage Finance survey. The closely watched index fell from 51.6 in April to 44.8 in May demonstrating major weakness in new home sales are expected in coming months,… Continue reading Home Buyer Traffic Tumbles
Banks Play Catch Up On Foreclosures
By Mike Colpitts Banks are playing catch up formally repossessing homes in judicial foreclosure states as they unwind a back-log of foreclosures from the robo-signing scandal. The foreclosure inventory remains at near all-time highs with 4.12% of all U.S. homes with mortgages in the foreclosure pipeline, according to Lender Processing Services. However, new problem loan… Continue reading Banks Play Catch Up On Foreclosures
Mortgage Borrowing Rates Drop to Unprecedented Record Low
By Mike Colpitts Lower Treasury bond yields and uncertainty over the world economy drove mortgage rates to another record all-time low this week as the 30-year fixed rate mortgage hit an average of 3.62%. The historic drop in rates was also experienced in the shorter term 15-year fixed loan. The drop in rates is unprecedented… Continue reading Mortgage Borrowing Rates Drop to Unprecedented Record Low