Housing Market In Recovery

According to a recent Fiserv Case-Shiller report, U.S home prices have grown 1.2% from 2011. Home prices in October 2012 increased 6.3 % from the previous year, and according to the National Association of Realtors, pending sales of existing homes rose 5.2 %. Rick Sharga, executive vice president of Carrington Mortgage Holdings, a loan servicing firm said, “the housing market is in a recovery and all the metrics are pointing in the right direction.” More here

Housing Market Drives New Automobile Sales

Truck sales are expected to increase over the next year, and the auto market is thanking the recovering housing market for the jump. Ellen Hughes-Cromwick, Ford economist said, “the beginnings of a recovery in the housing market should drive pickup sales in 2013, and it’s a fundamental physical foundation for housing recovery.” It is proven there is a direct correlation between auto and home sales and both are expected to continue to grow over the coming months. More here

New Rules For Future Mortgage Loans

New standards and rules have been revealed from the Consumer Financial Protection Bureau that will change future mortgage loans. The newly announced rule is based on two factors: The first factor considers the consumer’s ability to repay mortgage loans and the second factor is the ability for the consumer to verify income and assets. This rule is the first of many major new rules to come in hopes of preventing loose lending practices that led to the past mortgage crisis. More here

More Americans Become Free Of Mortgage Debt

According to a press release from Zillow, analysts of mortgage data, almost 21 million Americans own their homes with no mortgage debt. Median home values play a fundamental part in what influences the amount of free-and-clear homeowners in many locations. Areas with higher home values carry more individuals with mortgage debt while areas with lower home values have a higher percentage of homeowners without mortgage debt. Demographic factors may also play an important role in influencing homeowners without mortgage debt. More here

Home Loan Requests And Mortgages Applications Grow

The housing market is staying strong as U.S home mortgage applications increase. According to The Mortgage Bankers Association the seasonally adjusted index of application activity grew 11.7 % last week. Refinancing applications increased to 12.1% and home loan requests jumped 9.6%. 30-year fixed rate mortgages climbed to an average of 3.61% last week, the highest level since the beginning of November and a .09% increase from the previous week. More here

Announcement Holds Hope for Future Mortgages

Bank Of America Corporation announced over $14 billion of legal settlements over bad mortgages the company sold to investors and flaws in its process of foreclosures. The announcement holds hope to end a loan-by-loan review of foreclosures that has been mandated by the government. It has been estimated by analysts that the company has paid $40 billion for mortgage settlements since 2008. More here

Home Sales Expected to Jump

Confidence among consumers continues to grow. With positive attitudes toward rental price, home price and mortgage rates, Fannie Mae is expecting home purchases to grow over the next year. Consumers do seem to carry unsettled opinions about the economy and personal finances, but recently have shown a slight upward trend of optimism since November 2012. With more positive views towards the housing market,  an expected jump in sales has been forecasted. More here

Mortgage Rates Near All-Time Record Lows

According to Freddie Mac, last week’s 30-year fixed mortgages averaged around 3.34%, which is down from the previous week when it averaged 3.35%. 15-year fixed rate mortgages last week averaged 2.64%, 0.7% down from the previous week. The 5-year Treasury-index hybrid adjustable rate mortgage jumped 0.6 % while the 1-year treasury index averaged 2.57 percent last week increasing 0.4% from the previous week. More here

Foreclosure Rates Aid The Housing Market

Foreclosure rates have dropped from last year by 18% according to CoreLogic. In November 2011 foreclosure completions hovered around 72,000 compared to November 2012 when numbers fell 23%, reaching only 55,000 foreclosure completions. Mark Fleming, chief economist for CoreLogic said, “the inventory of foreclosed properties continues to decline while the housing market demonstrates an ongoing ability to absorb the distressed sales that result from completed foreclosures.” The U.S has come a long way from pre-crisis time when the national average of foreclosures per month was approximately 21,000. More here

Residential Construction Continues To Increase

Residential construction spending has steadily increased over the last 8 months, with November reaching 0.4 percent. Paul Ashworth, chief U.S. economist for Capital Economics said, “this is a volatile series month to month, the recent surge in housing starts suggests that residential construction spending will expand at a fairly rapid pace this year.” While residential construction continues to grow, commercial projects are decreasing approximately 0.7 percent.,  Ashworth also stated “the decline in construction spending was nothing too much to worry about.” More here