President Obama
As the election approaches, President Barack Obama is increasing his push to help more Americans refinance their home loans, according to the Wall Street Journal, but recent data shows that his efforts to date have had lackluster results. Bloomberg News reported that more Federal Housing Administration-insured loans entered foreclosure in March, largely because of refinanced loans. [more]
At Costco one can buy food, gas and clothing and now — a mortgage, AOL reported. Costco is rolling out a full-service Web-based mortgage lending program in partnership with First Choice Bank, a New Jersey-based community bank, and 10 other lenders, AOL said. The program has issued more than 10,000 mortgages and expects that number to grow soon when it begins marketing mortgage services out of its brick-and-mortar stores as well. [more]
How do you stack up as a potential mortgage candidate in this year’s increasingly tough underwriting environment? Do you have the right stuff — credit score, debt-to-income ratio, equity or down payment — to get you through the minefield? [more]
The Consumer Financial Protection Bureau is proposing a new set of rules for lenders to follow that intend to help homeowners avoid foreclosure, the Associated Press reported. The proposal comes in the wake of Congress demanding changes to the problematic industry. [more]
A little-noticed mortgage rule change that took effect April 1 could create hassles for significant numbers of homebuyers who plan to use low down-payment Federal Housing Administration financing this spring.
The change affects anyone with one or more “collection” accounts buried away in national credit bureau files. These include medical, student loan, retail and other debts reported as unpaid — correctly or incorrectly — by creditors and subsequently sent to collection agencies. [more]
(source: CoreLogic)
About 11.1 million, or 22.8 percent, of all U.S. residential properties with a mortgage were in negative equity at the end of the fourth quarter of 2011, according to statistics released today by analytics firm CoreLogic, an increase from 10.7 million properties, or 22.1 percent of mortgaged U.S. homes in the third quarter of 2011.
Combined, negative equity and near-negative equity mortgages accounted for more than a quarter of residential properties with a mortgage nationwide in the fourth quarter. [more]
Given the huge public and private resources now being devoted to helping financially distressed homeowners — including the recently announced $25 billion national mortgage settlement with five major banks — you might assume that a key federal tax law benefit underpinning these efforts would be a shoo-in for renewal.
But it’s not. The Mortgage Forgiveness Debt Relief Act is set to expire in 10 months, and there are early indications on Capitol Hill that it might not make the cut. The law, first enacted in 2007, allows homeowners who have received principal reductions on their mortgages as the result of loan modifications, short sales or foreclosures to avoid income taxation on the amounts forgiven. [more]
From left: BofA CEO Brian Moynihan and the Fannie Mae building
Bank of America and Freddie Mac and Fannie Mae mortgage bonds were the big winners from a Federal Reserve housing study that circulated through Congress this week, Bloomberg News reported, while mortgage bonds backed by high-cost debt lost in a massive market-shakeup. [more]
U.S. mortgage applications increased 0.2 percent for the week ending
Oct. 21, according to weekly data from the Mortgage Bankers Association
released today, on a seasonally adjusted basis. Unadjusted, mortgage
applications remained the same from the previous week. The four week
moving average for mortgage applications in down 2.5 percent. Refinancings, which are not seasonally adjusted, decreased by 0.2
percent, also rebounding from a double-digit decline. The refinance share of mortgage decreased to 77.1 percent of total
applications from 77.3 percent the prior week, while the adjustable-rate
mortgage share of activity fell one-hundredth of a percentage point to
5.8 percent. [more]
U.S. mortgage applications increased 4.9 percent for the week ending
Oct. 21, according to weekly data from the Mortgage Bankers Association
released today, on a seasonally adjusted basis. The unadjusted increase
was 4.8 percent. Though the week did include the Columbus Day holiday,
it followed a week where applications dropped precipitously. Refinancings, which are not seasonally adjusted, increased to 4.4
percent, also rebounding from a double-digit decline. The refinance share of mortgage decreased to 77.3 percent of total
applications from 77.6 percent the prior week, while the adjustable-rate
mortgage share of activity gained one-hundredth of a percentage point
to 5.9 percent. [more]
