by Nin-Hai Tseng, reporter August 31,2010: 12:43 PM ET
FORTUNE -- For the growing number of struggling homeowners in this country, more help is on the way. Additional aid from the federal government will begin making its way to them next month -- one program would help qualified homeowners refinance their mortgages after seeing their property values fall below the amount they owe, and the other includes another round of funding to help the unemployed or underemployed with their payments.
It's easy to see the need for such programs. Theoretically, they keep people in their homes and bring some stability to fragile housing market. But the plethora of programs announced since the housing crisis started have largely been failures, suggesting that any effort to fight foreclosures and boost home sales is going to be a futile one.
Read more here.
Tuesday, August 31, 2010
Monday, August 30, 2010
Foreclosure crisis spreads from subprime to prime mortgages
By Stephanie Armour, USA Today
The pace of prime borrowers going into foreclosure is accelerating, especially in states with mounting unemployment or property values that saw a big run-up during the housing boom.
It's a marked shift from earlier this year, when foreclosures were driven by defaults on subprime loans. And it has major implications — ravaging the credit scores of borrowers who once had unblemished records and dragging down property values in more affluent neighborhoods.
It also threatens to undermine the housing recovery.
"It's definitely a concern," says Brian Bethune at IHS Global Insight. "(Unemployment) is a major driver of foreclosures, and it will frustrate the housing recovery process."
In the first quarter, almost half of the overall increase in the start of foreclosures was due to the increase in prime, fixed-rate loans, according to the Mortgage Bankers Association (MBA). At the end of the fourth quarter, 2.4% of prime mortgages were seriously delinquent, more than double the 1.1% at the end of March 2008, according to a report by the Office of the Comptroller of the Currency and the Office of Thrift Supervision.
Read more here.
Friday, August 27, 2010
Expert: Home Prices Likely to Stay Flate for Year
by J. Craig Anderson - Aug. 27, 2010 12:00 AM
The Arizona Republic
Since March, the Phoenix area housing market has taken three steps forward and one step back, according to a report issued Thursday by the W. P. Carey School of Business at Arizona State University.
After three straight months of mild recovery, the Phoenix area housing market faltered in July, ASU reported.
The monthly ASU Repeat Sales Index was a zero in July, which means the median price of homes included in the study was the same as it had been in July 2009.
The report's author, professor Karl Guntermann, said the index is likely to remain at or near zero for the rest of the year.
"It is likely that house prices throughout the metro area will remain essentially flat for the next 12 months," said Guntermann, who co-wrote the report with Research Associate Adam Nowak. "While the improvement seen over the past 18 months isn't likely to continue, there also is no evidence that house prices will resume a downward trend, contrary to some published reports."
The Arizona Republic
Since March, the Phoenix area housing market has taken three steps forward and one step back, according to a report issued Thursday by the W. P. Carey School of Business at Arizona State University.
After three straight months of mild recovery, the Phoenix area housing market faltered in July, ASU reported.
The monthly ASU Repeat Sales Index was a zero in July, which means the median price of homes included in the study was the same as it had been in July 2009.
The report's author, professor Karl Guntermann, said the index is likely to remain at or near zero for the rest of the year.
"It is likely that house prices throughout the metro area will remain essentially flat for the next 12 months," said Guntermann, who co-wrote the report with Research Associate Adam Nowak. "While the improvement seen over the past 18 months isn't likely to continue, there also is no evidence that house prices will resume a downward trend, contrary to some published reports."
Thursday, August 26, 2010
The best moves for home buyers and sellers
Take such unreasonable expectations, multiply by two, and what do you get? "A standoff," says Glenn Kelman, CEO of real estate brokerage Redfin.
With the busy summer home-sale season drawing to a close, there's little time to waste. Whether you're trying to unload your place or land a new one, follow these dos and don'ts to negotiate the best deal -- fast.
Read more here.
Wednesday, August 25, 2010
New home sales drop 12.4% to record low
New home sales dropped 12.4% to a seasonally adjusted annual rate of 276,000 last month, down from a downwardly revised 315,000 in June, the Commerce Department reported Wednesday. Sales year-over-year fell 32.4%.
Commerce started tracking new home sales in 1963.
Sales were forecast to tick higher to an annual rate of 334,000 in July, according to a consensus estimate of economists surveyed by Briefing.com.
"The report shows the housing industry is still nursing a bad hangover," said Mitchell Hochberg of Madden Real Estate Ventures in New York. "With shadow inventory, rising foreclosures, little job growth and more stringent access to credit, weak sales will persist and the industry's headache will linger."
Home sales had soared in March and April as homebuyers rushed to sign contracts ahead of the April 30 deadline for the $8,000 tax credit. But sales plummeted in May, the first month after the incentive expired, to an annual rate of 281,000. The pace only improved modestly in June.
Read more here.
Home sales plummet to lowest rate on record
by Stephanie Armour - Aug. 24, 2010 10:45 AM
USA TODAY
Home sales plunged in July to record lows as buyer demand withered after the expiration of a federal home buyer tax credit — a drop that shows troublesome weakening in the housing market recovery.
Sales of existing homes tumbled 27.2% in July to a seasonally adjusted annual rate of 3.83 million units from 5.26 million in June, according to a report Tuesday by the National Association of Realtors. Sales are at the lowest level since the report began being released in 1999, and sales of single-family homes — which account for the bulk of transactions — are at the lowest level since May 1995.
"This qualifies as a double dip in housing," says Mark Zandi, with Moody's Analytics.com. "It's particularly disconcerting given that fixed mortgage rates are lower. The recovery is weakening. These are pretty ugly numbers."
Economic fundamentals aren't working to buoy the housing market, economists say, and the real engine that is needed to turn the recovery around is more private sector jobs.
"Jobs, jobs, jobs," says Robert Dye, senior economist with PNC Financial Services Group, adding that government stimulus efforts such as another tax credit are unlikely to create lasting benefits. "Another tax credit will pull demand forward and then a hollowing out (of sales) again."
Economists say they were surprised by the size of July's drop in home sales, which indicates buyers have scant confidence in the housing market. Existing-home sales fell 35% in the Midwest in July, 29.5% in the Northeast; in the West, they fell 25% and they were down 22.6% in the South.
"This is extraordinary, how low the demand is, " says Joel Naroff, of Naroff Economic Advisors. "The (housing) sector is still flat on it's back."
Read more here.
USA TODAY
Home sales plunged in July to record lows as buyer demand withered after the expiration of a federal home buyer tax credit — a drop that shows troublesome weakening in the housing market recovery.
Sales of existing homes tumbled 27.2% in July to a seasonally adjusted annual rate of 3.83 million units from 5.26 million in June, according to a report Tuesday by the National Association of Realtors. Sales are at the lowest level since the report began being released in 1999, and sales of single-family homes — which account for the bulk of transactions — are at the lowest level since May 1995.
"This qualifies as a double dip in housing," says Mark Zandi, with Moody's Analytics.com. "It's particularly disconcerting given that fixed mortgage rates are lower. The recovery is weakening. These are pretty ugly numbers."
Economic fundamentals aren't working to buoy the housing market, economists say, and the real engine that is needed to turn the recovery around is more private sector jobs.
"Jobs, jobs, jobs," says Robert Dye, senior economist with PNC Financial Services Group, adding that government stimulus efforts such as another tax credit are unlikely to create lasting benefits. "Another tax credit will pull demand forward and then a hollowing out (of sales) again."
Economists say they were surprised by the size of July's drop in home sales, which indicates buyers have scant confidence in the housing market. Existing-home sales fell 35% in the Midwest in July, 29.5% in the Northeast; in the West, they fell 25% and they were down 22.6% in the South.
"This is extraordinary, how low the demand is, " says Joel Naroff, of Naroff Economic Advisors. "The (housing) sector is still flat on it's back."
Read more here.
Tuesday, August 24, 2010
Foreclosure Seminar!
Interested in the foreclosure market? Want to find the best real estate deals in Sunny Arizona? We hold regular foreclosure auction seminars to help you understand what works and what does not. Seminars designed for the novice and experienced investor. One on one discussions available for those that are not able to attend a seminar.
Contact our office for more information at 602 229-1200 or visit our website at www.bidazforeclosures.com
Monday, August 23, 2010
Foreclosures rise in July
By Les Christie, staff writerAugust 12, 2010: 4:39 AM ET
NEW YORK (CNNMoney.com) -- The latest foreclosure numbers carried a mixed message: They're up 3.6% from the month before but down 9.7% from 12 months earlier.
In July there were more than 325,000 foreclosure filings -- including notices of default, auctions notices and bank repossessions. That is the 17th month in a row total filings exceeded 300,000, said RealtyTrac's CEO, James Saccacio.
"Declines in new default notices, which were down on a year-over-year basis for the sixth straight month in July," he said, "have been offset by near-record levels of bank repossessions, which increased on a year-over-year basis for the eighth straight month."
A near record number of people lost their homes to mortgage payment problems in July. Lender repossessions amounted to 92,858 homes, the second highest monthly total ever behind the 93,777 recorded this May.
Repossession is the final stage in the foreclosure process. People can stay in thier homes until the point that the bank takes posession of the home or sells it at auction
Read more here.
NEW YORK (CNNMoney.com) -- The latest foreclosure numbers carried a mixed message: They're up 3.6% from the month before but down 9.7% from 12 months earlier.
In July there were more than 325,000 foreclosure filings -- including notices of default, auctions notices and bank repossessions. That is the 17th month in a row total filings exceeded 300,000, said RealtyTrac's CEO, James Saccacio.
"Declines in new default notices, which were down on a year-over-year basis for the sixth straight month in July," he said, "have been offset by near-record levels of bank repossessions, which increased on a year-over-year basis for the eighth straight month."
A near record number of people lost their homes to mortgage payment problems in July. Lender repossessions amounted to 92,858 homes, the second highest monthly total ever behind the 93,777 recorded this May.
Repossession is the final stage in the foreclosure process. People can stay in thier homes until the point that the bank takes posession of the home or sells it at auction
Read more here.
Friday, August 20, 2010
Foreclosure prevention program losing its punch
Foreclosure prevention program losing its punch
By Tami Luhby, senior writerAugust 20, 2010: 12:28 PM ET
NEW YORK (CNNMoney.com) -- The president's signature foreclosure rescue plan is losing its punch, according to a federal report released Friday.
Only 36,695 troubled homeowners received long-term mortgage modifications in July under the Obama administration's Home Affordable Modification Program, known as HAMP. This brings the total to 434,717 borrowers who have successfully made it out of the trial phase.
A month ago, 51,205 delinquent borrowers were given long-term assistance.
The number of people falling out of the program, however, is on the rise. Some 12,912 homeowners had their permanent modifications canceled in July, 272 of whom paid off their loans.
Obama officials acknowledge that the foreclosure rescue program will not help every troubled homeowner and that it may be a while before the housing market stabilizes. They are shifting their focus to initiatives that are targeted to those who have been hit by the recession and declining home prices.
"While there has been some stabilization in the housing market, it remains clear that we have more work ahead," said Raphael Bostic, assistant housing secretary. "We know that we must continue to provide support to underwater borrowers, unemployed homeowners, and to the nation's hardest hit neighborhoods."
Foreclosure prevention programs have taken on renewed importance with the housing market on shaky ground again. A spike in foreclosures, combined with weak housing sales, could send home prices plummeting again.
Defaults on the rise
The latest report comes two weeks after the government had to revise its June redefault figures sharply higher, after analysts called the initial numbers misleading.
The revision showed that nearly 20% of homeowners were at least two months delinquent nine months after receiving a permanent modification. The initial figure showed that 7.7% had fallen behind.
The government did not provide redefault statistics for July in the current report. Officials said the data would be released quarterly.
Analysts at Barclay's Capital said last month said 60% of homeowners may ultimately redefault.
Read more here.
By Tami Luhby, senior writerAugust 20, 2010: 12:28 PM ET
NEW YORK (CNNMoney.com) -- The president's signature foreclosure rescue plan is losing its punch, according to a federal report released Friday.
Only 36,695 troubled homeowners received long-term mortgage modifications in July under the Obama administration's Home Affordable Modification Program, known as HAMP. This brings the total to 434,717 borrowers who have successfully made it out of the trial phase.
A month ago, 51,205 delinquent borrowers were given long-term assistance.
The number of people falling out of the program, however, is on the rise. Some 12,912 homeowners had their permanent modifications canceled in July, 272 of whom paid off their loans.
Obama officials acknowledge that the foreclosure rescue program will not help every troubled homeowner and that it may be a while before the housing market stabilizes. They are shifting their focus to initiatives that are targeted to those who have been hit by the recession and declining home prices.
"While there has been some stabilization in the housing market, it remains clear that we have more work ahead," said Raphael Bostic, assistant housing secretary. "We know that we must continue to provide support to underwater borrowers, unemployed homeowners, and to the nation's hardest hit neighborhoods."
Foreclosure prevention programs have taken on renewed importance with the housing market on shaky ground again. A spike in foreclosures, combined with weak housing sales, could send home prices plummeting again.
Defaults on the rise
The latest report comes two weeks after the government had to revise its June redefault figures sharply higher, after analysts called the initial numbers misleading.
The revision showed that nearly 20% of homeowners were at least two months delinquent nine months after receiving a permanent modification. The initial figure showed that 7.7% had fallen behind.
The government did not provide redefault statistics for July in the current report. Officials said the data would be released quarterly.
Analysts at Barclay's Capital said last month said 60% of homeowners may ultimately redefault.
Read more here.
Thursday, August 19, 2010
Arizona's jobless rate deters extra foreclosure aid
Arizona's unemployment rate is preventing struggling homeowners from receiving help from the federal government's latest foreclosure-prevention program.
Last week, the U.S. Treasury Department named the states that will divvy up $2 billion in additional funding to specifically help homeowners facing foreclosure due to unemployment. Arizona wasn't on the list, a disappointment to many of the state's homeowners and housing advocates.
Arizona is already receiving $125.1 million from the federal government's Hardest Hit Housing Markets fund, which is the same federal program administering this latest round of aid. Arizona is one five states - along with California, Florida, Nevada and Michigan - sharing $1.5 billion through a program for areas with the biggest drop in home prices. All five states are posting among the highest foreclosure rates in the nation.
California, Florida, Nevada and Michigan also qualified for a piece of the $2 billion in new funding to help unemployed homeowners. Those states were among 17 and the Washington, D.C., area selected.
The Treasury Department said the states to receive the latest round of foreclosure-prevention funding all had unemployment rates at or above the national average during the past 12 months.
In June, Arizona's unemployment rate was 9.6 percent, according to the Bureau of Labor Statistics. Nevada has the highest unemployment rate in the country: 14.2 percent. Michigan is second at 13.2 percent, and then comes California at 12.3 percent. Florida is in the top 10 with an unemployment rate of 11.4 percent.
The U.S. average rate for unemployment is 9.5 percent.
Arizona might be eligible for another round of funding to help homeowners facing foreclosure. The U.S. Department of Housing and Urban Development is working on a $1 billion Emergency Homeowners Loan Program. Plans for it include providing zero interest, deferred-payment bridge loans of up to $50,000 for homeowners who have had their incomes cut due to job loss, underemployment or medical conditions.
Next month, Arizona's Housing Department plans to launch foreclosure-aid programs funded by the $125.1 million it was awarded earlier this year.
Read more: http://www.azcentral.com/business/realestate/articles/2010/08/18/20100818biz-catherine0818.html#ixzz0x6CkleLi
Arizona's jobless rate deters extra foreclosure aid
Last week, the U.S. Treasury Department named the states that will divvy up $2 billion in additional funding to specifically help homeowners facing foreclosure due to unemployment. Arizona wasn't on the list, a disappointment to many of the state's homeowners and housing advocates.
Arizona is already receiving $125.1 million from the federal government's Hardest Hit Housing Markets fund, which is the same federal program administering this latest round of aid. Arizona is one five states - along with California, Florida, Nevada and Michigan - sharing $1.5 billion through a program for areas with the biggest drop in home prices. All five states are posting among the highest foreclosure rates in the nation.
California, Florida, Nevada and Michigan also qualified for a piece of the $2 billion in new funding to help unemployed homeowners. Those states were among 17 and the Washington, D.C., area selected.
The Treasury Department said the states to receive the latest round of foreclosure-prevention funding all had unemployment rates at or above the national average during the past 12 months.
In June, Arizona's unemployment rate was 9.6 percent, according to the Bureau of Labor Statistics. Nevada has the highest unemployment rate in the country: 14.2 percent. Michigan is second at 13.2 percent, and then comes California at 12.3 percent. Florida is in the top 10 with an unemployment rate of 11.4 percent.
The U.S. average rate for unemployment is 9.5 percent.
Arizona might be eligible for another round of funding to help homeowners facing foreclosure. The U.S. Department of Housing and Urban Development is working on a $1 billion Emergency Homeowners Loan Program. Plans for it include providing zero interest, deferred-payment bridge loans of up to $50,000 for homeowners who have had their incomes cut due to job loss, underemployment or medical conditions.
Next month, Arizona's Housing Department plans to launch foreclosure-aid programs funded by the $125.1 million it was awarded earlier this year.
Read more: http://www.azcentral.com/business/realestate/articles/2010/08/18/20100818biz-catherine0818.html#ixzz0x6CkleLi
Arizona's jobless rate deters extra foreclosure aid
Monday, August 16, 2010
New Offices Grand Opening!
Real Estate Investment Networking Event
and
Interested in the "Fix and Flip"?
Want to learn more about investing in foreclosure properties?
For Details and To Contact
Visit
Call
602-229-1200
602-229-1200
Email
Arizona Real Estate: Phoenix home prices down
Arizona real estate: Phoenix home prices down
Indicators forecasting housing 'double dip'
Subscribe to:
Posts (Atom)
