By Kevin Chiu Driven by lobbyists, the U.S. government spent more on housing related grants and tax expenditures than energy, transportation and non-profit organizations combined in 2009 despite the collapse of the real estate market, according to a study conducted by the Pew charitable trust research project. The federal government spent about $244 billion on… Continue reading Feds Spend More on Housing
Category: Foreclosure
Foreclosure Crisis Triggers S&P Credit Downgrade
By Kevin Chiu Standard and Poor’s long term credit downgrade of the U.S. economy is directly impacted by the foreclosure crisis, which has cost tax payers $148-billion to bail-out Freddie Mac and Fannie Mae so far. But S&P analysts expect “extraordinary official assistance to large players in the U.S. financial sector” to be made to… Continue reading Foreclosure Crisis Triggers S&P Credit Downgrade
Hard Money Lending at Record Clip
By Mike Colpitts Despite home prices continuing to decline in much of the U.S., hard money lenders are funding home mortgages at the highest rate on record as nervous homeowners attempt to hold on to their homes. Banks and conventional mortgage lenders are rejecting refinances and new home purchases at alarming rates. Source Capital Funding,… Continue reading Hard Money Lending at Record Clip
Feds Slam 14 Banks in Robo Signing
By Kevin Chiu The federal government has announced formal enforcement sanctions against 14 banking organizations addressing a serious “pattern of misconduct and negligence” in the robo signing scandal. The deficiencies, announced jointly by the Federal Reserve, Comptroller of the Currency and the Office of Thrift Supervision requires banks and mortgage servicing companies to make corrections… Continue reading Feds Slam 14 Banks in Robo Signing
Hardest Hit Housing Cities Pain Grows
By Mike Colpitts The gambling capital of the U.S., Las Vegas posted the nation’s highest foreclosure rate among metropolitan areas with populations of more than 200,000 in July, but housing foreclosures are spiking in the majority of other top 20 hardest hit housing cities. The gap is shrinking between the gambling mecca and major cities… Continue reading Hardest Hit Housing Cities Pain Grows
State Foreclosure Settlements Seem Doubtful
By Mike Colpitts A settlement between bankers, mortgage servicing companies and the 50 state Attorney Generals investigating robo signing foreclosures seems more doubtful of achieving by the day as bankers delay talks to stem off billions of dollars in settlements they would have to pay to reach such an agreement, estimated as high as $25-billion.… Continue reading State Foreclosure Settlements Seem Doubtful
Foreclosure Backlog Rises as Federal Aid Fails
By Mike Colpitts The foreclosure inventory of homes has grown to more than 30 times the volume of foreclosed homes that sell each month in the U.S. as federal efforts to stem the crisis fails, indicating that the flood of foreclosures will trouble the housing market for years to come, according to Lender Processing Services,… Continue reading Foreclosure Backlog Rises as Federal Aid Fails
Fannie Mae Pays Closing Costs
By Mike Colpitts Hoping to slash the record volume of foreclosures in its inventory, Fannie Mae, one of the nation’s two mortgage giants is offering to pay buyers’ closing costs on foreclosed homes and accepting down payments of as little as 3%. Purchasers will receive up to 3.5% in closing costs assistance. The inventive was… Continue reading Fannie Mae Pays Closing Costs
Mortgage Bond Values Double
By Chris Choi The collapse of the housing market resulted in mass foreclosures, the bailout of banks, companies going bankrupt and the stock market hitting rock bottom. The financial crisis of 2008 was caused by a series of issues, but none more directly than the rise of mortgage bonds traded by investors, who relied on… Continue reading Mortgage Bond Values Double
Shadow Inventory Falls 200,000 Homes
By Mike Colpitts The inventory of U.S. homes that have not yet been foreclosed but are in financial jeopardy recognized as the shadow inventory has declined by 200,000, according to real estate research firm Core Logic. The current residential shadow inventory is 1.8-million units, which represents a nine months supply of inventory at present sales… Continue reading Shadow Inventory Falls 200,000 Homes