Archives for June 2011

Real Estate Crash of the Century

By Kevin Chiu The real estate market is under going the crash of the century and there’s no bottom of the market developing in the hardest hit areas of the U.S. The housing market alone has suffered more than 7-million residential foreclosures since the crisis started, and like a bottomless pit home prices are declining in the majority of the nation. Those regions that are experiencing low unemployment levels that were mainly out of the … [Read more...]

Interest Rates Steady Four Straight Weeks

Lenders kept mortgage interest rates steady for the fourth week in a row as disappointing news on the economy held bond rates under 3%. The average rate on the bench mark 30-year fixed rate loan was 4.51%, up a single basis point from last week. Signs for an improvement in the U.S. economy were mixed. The seldom purchased 15-year fixed rate loan remained flat at 3.69%, according to Freddie Mac, which has kept tabs on the nation’s mortgage … [Read more...]

Comedian Jimmy Fallon Buys $5.7 Million Estate

Talk show host and comedian Jimmy Fallon, whose late night TV talk show is rising in the ratings is buying a 3,500 square foot estate in the Hamptons outside of New York City, where he hosts his nightly show. The former “Saturday Night Live” TV Weekend Update co-anchor is settling into his new digs in the late night slot well you’d have to say to buy the 6-bedroom, 5 ½ bathroom home for a reported $5.7 million. Apparently Jimmy got a sizeable … [Read more...]

Investor Purchases Rack Up

By Mike Colpitts Investors shopping for a deal are purchasing more than one-in-five residential properties in the U.S. and make up the second largest share of home purchasers right behind first time buyers. The rise in investor purchases has been developing over the last year as home values and the prices on all sorts of other real estate in most areas of the country decline. Investor purchases are a good sign for the housing market, … [Read more...]

Mortgages Dry Up As Interest Rates Drop

Mortgage applications dried-up slightly even as interest rates dropped for the week, according to the Mortgage Bankers Association survey. The composite index, a measure of mortgage loan application volume fell 2.7% on a seasonally adjusted basis as applications fell for the second straight week. Loan applications have been on an up-and-down cycle for more than three months, despite near all-time low mortgage interest rates. The average … [Read more...]

Time to Reinstate Glass Steagall

By Jeffrey Steinberg, Rep. Marcy Kaptur (D-Ohio), with the backing of Reps. Walter Jones (R-NC) and Jim Moran (D-VA),  has introduced a bill in the House of Representatives (H.R.1489) “Return to Prudent Banking Act of 2011,” which would reinstate the original 1933 Glass Steagall Act, that broke up the Depression-era "too big to fail" banks, and gave the nation 66 years of stable banking. The bill has 19 co-sponsors, including four … [Read more...]

Jumbo Mortgages to Get More Expensive

By Mike Colpitts Mortgages on the nation's most expensive homes are about to get more costly. In October the government is expected to halt backing jumbo mortgages of more than $625,500 through Freddie Mac and Fannie Mae, triggering higher interest rates and down payments. The change could also send home values lower in some high-end neighborhoods. A study by the National Association of Home Builders found that the change will “reduce … [Read more...]

Illegally Foreclosed Should Be Compensated

Homeowners caught up in the banks robo-signing scandal that have illegally been foreclosed should be compensated financially by the banks that foreclosed on their homes to settle differences, according to an over whelming majority of respondents in a new Housing Predictor opinion poll. The survey shows that despite the blame Americans place on some homeowners for getting in over their heads financially with higher mortgages than they could … [Read more...]

Home Prices Rising in Dakotas, Alaska, Texas

By Mike Colpitts In places where jobs are more plentiful and workers are in demand local economies are doing much better than the majority of the U.S. and many housing markets are beginning to even see home prices rise. North Dakota, which now produces the fourth largest amount of oil in the country, Alaska and some Texas markets are witnessing home prices rising. The move towards higher housing values isn’t an anomaly in these tough … [Read more...]

Feds Extend Mortgage Rulemaking

By Mike Colpitts Five U.S. government agencies extended the time-frame to consider major changes to the nation's mortgage financing system. The extension was announced one-day before time ran out for the government to consider changes offered by dozens of special-interest groups trying to sway Congress’ decision making on new Dodd-Frank financial reform rulemaking. The decision to delay the comment period was quietly announced in a news … [Read more...]