? Previous: Redevelopment Agency: Coming and Going or Going and Coming?
? Next: Blunders of Jesus and Martha Stewart
Friday, July 1, 2011
Summer's Here!: A Mission Mission reader reports that...
× Like us and you'll find top breaking news in your Facebook newsfeed. Sign up for our daily email newsletter and get top stories and breaking news delivered to your inbox. Wednesday, June 22, 2011, by Sally Kuchar
Distressed Property Sales Drop, Despite Push to Sell
The share of distressed sales in May, that is foreclosed properties and short sales (when the property is sold for less than the value of the loan), fell to 31 percent of all sales from 37 percent in April. Investors, who purchase a large share of these distressed properties, also represented a smaller share in May. So what's going on? 
We know there is still a huge supply of bank owned (REO) properties, and we also know that banks are pushing short sales on many more properties than ever before. But they are also pushing REO sales, thanks to new sales incentives from lenders and the GSE's (Government-Sponsored Enterprises). "Realtors and mortgage loan officers nationwide are driving mid-to-high end organic, short and distressed sales on the fear that buyers will be unable to qualify for loans once the QRM (Qualified Residential Mortgage) rules are in place requiring 20 percent down," says mortgage market analyst Mark Hanson, describing new rules being considered for risk retention by banks (part of the banking overhaul legislation passed last summer). Some bloggers though, writing in to me after the existing home sales report, claimed that Fannie and Freddie are holding on to REOs, trying to game home prices. Fannie strongly disputes that. "Fannie Mae doesn't have a shadow inventory of REO properties that are available to be sold. As soon as we acquire a property, we quickly identify a market competitive price, determine whether to make any necessary repairs and list the property. In the first three months of 2011, we sold a record number of REO properties, selling more properties than we acquired," said Amy Bonitatibus, Fannie Mae spokeswoman. "We watch taxpayer dollars like it's our own money. We have an immense responsibility to get the most possible value from each REO property we sell. We are committed to stabilizing neighborhoods and preserving communities across the country," she added. In fact, Fannie Mae recently launched another program of financial incentives to Realtors to sell REO properties. A note from analysts at Goldman Sachs, titled Foreclosure Sales: Federally Backed Lenders Shifting to Net Sellers, states: ![]()
We know there is still a huge supply of bank owned (REO) properties, and we also know that banks are pushing short sales on many more properties than ever before. But they are also pushing REO sales, thanks to new sales incentives from lenders and the GSE's (Government-Sponsored Enterprises). "Realtors and mortgage loan officers nationwide are driving mid-to-high end organic, short and distressed sales on the fear that buyers will be unable to qualify for loans once the QRM (Qualified Residential Mortgage) rules are in place requiring 20 percent down," says mortgage market analyst Mark Hanson, describing new rules being considered for risk retention by banks (part of the banking overhaul legislation passed last summer). Some bloggers though, writing in to me after the existing home sales report, claimed that Fannie and Freddie are holding on to REOs, trying to game home prices. Fannie strongly disputes that. "Fannie Mae doesn't have a shadow inventory of REO properties that are available to be sold. As soon as we acquire a property, we quickly identify a market competitive price, determine whether to make any necessary repairs and list the property. In the first three months of 2011, we sold a record number of REO properties, selling more properties than we acquired," said Amy Bonitatibus, Fannie Mae spokeswoman. "We watch taxpayer dollars like it's our own money. We have an immense responsibility to get the most possible value from each REO property we sell. We are committed to stabilizing neighborhoods and preserving communities across the country," she added. In fact, Fannie Mae recently launched another program of financial incentives to Realtors to sell REO properties. A note from analysts at Goldman Sachs, titled Foreclosure Sales: Federally Backed Lenders Shifting to Net Sellers, states: "Although these entities could hold property off the market to reduce the negative effects of distressed properties on house prices, they do not appear to be doing so...in Q1 the GSEs and FHA became net suppliers of foreclosed properties to the market for the first time since 2009. Moreover, if the temporary slowdown in REO sales over the last two quarters ends, the federal entities seem likely to add roughly 30 percent to the sales of fore loses property over the next year as compared with the previous four quarters."Bottom line, in order for this housing market to recover, the distressed properties need to go, whether by short sales or REO sales. The distress is driving the fear, which in turn keeps buyers on the sidelines. We need investors, and we need first time buyers, and I will say it until I'm blue in the face: These buyers need better access to credit. Questions? Comments? document.write("");document.write("RealtyCheck"+"@"+"cnbc.com");document.write('');And follow me on Twitter @Diana_Olick
Jac Zagoory Ripple Pen Alley Way - Racy Real Estate Rollerball Pen - JZ-PEN49
Living with an unobstructed view or a guaranteed view can depend more on your philosophy in life than the realtor's listing. Reach for Inspiration!The rollerball refill is universally available.
Price: $65.00
Thursday, June 30, 2011
The New “Household” Misery Index: April 2011
Sorry, I could not read the content fromt this page.Sorry, I could not read the content fromt this page.
[CFR] Not Slowest Economic Recovery, Yet Housing Is – So Deal With It
The Council on Foreign Relations published their quarterly update from the Center for Geoeconomic Studies, always a good resource, called: The Economic Recovery in Historical Context. The charts look at various metrics since the end of each recession. FYI, the recession was dubbed “over” in June 2009.
GDP is growing, but below the average post-war pace but not slower than the 1980-81 double dip.
Housing continues to fall – it is well below both the average and low end of the post-war range. Of course that’s because housing/credit was the cause of the crash itself.
It’s hard to see the economy moving forward appreciably until housing improves or at least it’s being more consistent with historic norms during an economic recovery. I like these graphics because they provide tangible perspective to the state of the economy and housing.
Rooms with a Pouf from Our House Tours
I really wanted to title this post "An Ode to the Pouf" due to the extreme love I have towards this versatile home accessory. Please excuse the over-the-top adoration as I list the ways this functional piece can add value to any home.
In this roundup the pouf can be spotted being used as extra seating for house guests or as a foot stool for tired feet. They can be used to bring a pop of color to any room, without replacing the main furniture items, or as an impromptu coffee or side table. In image 5 the vintage pouf, placed in just the right spot, creates an adorable vignette and can even be, as the main image shows, an upscale perch for man's best friend.
1. Carrie's Glamorous Bungalow
2. Martha's Stunning Fireplace
3. Rhiannon and Victor's First "Grown-Up" Home
4. Tailored Sofas for Elegance & Sophistication
5. Robert & Michelena's Modern-Bohemian Fusion
Images: as linked above
Front hand warmer pocket.
Subscribe to:
Posts (Atom)