Labor Department: Unemployment up to 6.7%

first_img Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Subscribe The Week Ahead: Nearing the Forbearance Exit 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago March 7, 2014 742 Views Related Articles Previous: DS News Webcast: Friday 3/7/2014 Next: Should States Fast-Track Foreclosures? Labor Department: Unemployment up to 6.7% The Best Markets For Residential Property Investors 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago The Best Markets For Residential Property Investors 2 days ago Share Save Tagged with: Job Growth Labor Department Unemployment Servicers Navigate the Post-Pandemic World 2 days ago  Print This Post Demand Propels Home Prices Upward 2 days ago According to the Labor Department, the U.S. economy added 175,000 jobs in February, beating expectations after two weak months but still failing to impress. Economists surveyed by Bloomberg anticipated a consensus forecast of 150,000 new jobs.The unemployment rate edged up to 6.7 percent from January’s five-year low of 6.6 percent.While more promising than December and January—which showed upwardly revised payroll growth of 84,000 and 129,000, respectively—February’s numbers still fell well short of 2013’s average monthly growth of 194,000.Also putting a damper on February’s payroll gain was the number Americans unemployed for 27 weeks or more, which was up by 203,000 to 3.8 million, accounting for 37 percent of the unemployed population.With its acknowledgement that severe weather may have impacted data for last month, the Labor Department added more fuel to the ongoing debate as to whether the country is in an actual slump or just feeling the effects of a harsh winter.Paul Dales, senior U.S. economist for macroeconomic research firm Capital Economics, said the latest stats indicate a brighter spring to come.“Overall, if the economy managed to generate 175,000 new jobs in a month when the weather was so severe, once the weather returns to seasonal norms payrolls employment growth is likely to accelerate further,” he said.Dales also said that the pickup in hiring “pretty much guarantees that the Fed will taper its asset purchases further at the mid-March meeting”—a topic that’s attracted much speculation since the recent slowdown started.Kathy Bostjancic, director of macroeconomic analysis for the Conference Board, agreed that despite lukewarm reports to start the year, “many of the underlying fundamentals of the economy have continued to improve.”“Catch up from weather-delayed plans could push job gains over 200,000 per month. And more jobs mean more paychecks, lifting consumer confidence and sending consumers out shopping once the weather improves,” she said. “In sum, we look for a spring thaw to warm up the economic readings, including most notably employment and housing indicators.” Demand Propels Home Prices Upward 2 days ago Sign up for DS News Daily Job Growth Labor Department Unemployment 2014-03-07 Tory Barringer Data Provider Black Knight to Acquire Top of Mind 2 days ago Home / Daily Dose / Labor Department: Unemployment up to 6.7% in Daily Dose, Featured, Government, Headlines, Market Studies, News Governmental Measures Target Expanded Access to Affordable Housing 2 days agolast_img read more

Treasury Official Says Administration is ‘Ready, Willing, and Able’ to Talk Housing Finance Reform

first_imgHome / Daily Dose / Treasury Official Says Administration is ‘Ready, Willing, and Able’ to Talk Housing Finance Reform Sign up for DS News Daily The Best Markets For Residential Property Investors 2 days ago Conservatorship Dr. Michael Stegman FHFA Housing Finance Reform U.S. Treasury 2015-03-02 Brian Honea Servicers Navigate the Post-Pandemic World 2 days ago Treasury Official Says Administration is ‘Ready, Willing, and Able’ to Talk Housing Finance Reform Speaking at the National Council of State Housing Agencies Legislative Conference on Monday, the Department of U.S. Department of Treasury Counselor to the Secretary for Housing Finance Policy Dr. Michael Stegman said that the Obama Administration is “ready, willing, and able” to talk housing finance reform, which has been a hot-button topic in recent months as Fannie Mae and Freddie Mac remain in conservatorship of the Federal Housing Finance Agency.”The Administration remains ready, willing, and able to work in good faith with members of both parties to complete this important but unfinished piece of financial reform,” Stegman said. “As memories of the financial crisis fade, we cannot become complacent.  The best time to act is when the housing market is well along the path to recovery and credit markets are normalizing, not on the precipice of a new economic shock when there is little time to be thoughtful.”While Stegman’s remarks on the subject of housing finance reform may seem optimistic, many mortgage indusrtry professionals are not convinced. On the same morning that Stegman delivered his speech at the NCSHA’s conference, the Collingwood Group and the Five Star Institute released their March 2015 Mortgage Industry Outlook report containing a survey in which 60 percent of mortgage industry professionals polled said there was “zero chance” of housing finance reform happening under the Obama Administration, which ends in January 2017. About 34 percent of respondents in that survey said they believed there was less than a 25 percent chance of housing finance reform taking place under Obama’s watch.Stegman said the Administration would not end the conservatorship of the GSEs without a viable alternative that provides that elusive balance between eliminating taxpayer risk while still allowing credit access.”I know that many of you want to know where we are on housing finance reform,” Stegman said. “On this subject, let me be clear: the Administration stands by our belief that the only way to responsibly end the conservatorship of Fannie Mae and Freddie Mac is through legislation that puts in place a sustainable housing finance system that has private capital at risk ahead of taxpayers, while preserving access to mortgage credit during severe downturns.”Stegman also discussed the Hardest Hit Fund, which the government created in response to the financial crisis, and stated that to date the fund has provided more than $3.8 billion for 70 programs to help approximately 227,000 homeowners in the communities that were hit the hardest by the recession. Previous: Report: Morgan Stanley in Settlement Talks with New York AG Over Subprime Loans Next: DS News Webcast: Tuesday 3/3/2015 Tagged with: Conservatorship Dr. Michael Stegman FHFA Housing Finance Reform U.S. Treasury About Author: Brian Honea Demand Propels Home Prices Upward 2 days ago March 2, 2015 4,140 Views Related Articles The Best Markets For Residential Property Investors 2 days agocenter_img Demand Propels Home Prices Upward 2 days ago The Week Ahead: Nearing the Forbearance Exit 2 days ago in Daily Dose, Featured, Government, News Share Save Data Provider Black Knight to Acquire Top of Mind 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Subscribe Brian Honea’s writing and editing career spans nearly two decades across many forms of media. He served as sports editor for two suburban newspaper chains in the DFW area and has freelanced for such publications as the Yahoo! Contributor Network, Dallas Home Improvement magazine, and the Dallas Morning News. He has written four non-fiction sports books, the latest of which, The Life of Coach Chuck Curtis, was published by the TCU Press in December 2014. A lifelong Texan, Brian received his master’s degree from Amberton University in Garland. Governmental Measures Target Expanded Access to Affordable Housing 2 days ago  Print This Post Governmental Measures Target Expanded Access to Affordable Housing 2 days agolast_img read more

Mortgage REITs Unlikely to Catch a Break in Q3

first_img Tagged with: Mortgage REITs Single-Family Rental Market in Daily Dose, Featured, Market Studies, News Mortgage REITs Unlikely to Catch a Break in Q3 Home / Daily Dose / Mortgage REITs Unlikely to Catch a Break in Q3 Share Save Kerri Panchuk is an attorney and financial writer with more than a decade of experience covering real estate, default servicing, residential mortgage-backed securities, retail, macroeconomics, and commercial real estate. Panchuk graduated from the Southern Methodist University Dedman School of Law and texas Tech University, Panchuk previously served DSNews.com as online managing editor/producer and webcast anchor. In April, she rejoined the Fiver Star Institute as executive director of member groups, overseeing the development and growth of the National Appraisal Congress and Title and Closing Coalition. Panchuk is a member of the State Bar of Texas. Previous: DS News Webcast: Friday 10/16/2015 Next: VRM University Unveils Diversity & Inclusion Self-Assessment Tool The Best Markets For Residential Property Investors 2 days ago Demand Propels Home Prices Upward 2 days ago Related Articles Data Provider Black Knight to Acquire Top of Mind 2 days ago The Week Ahead: Nearing the Forbearance Exit 2 days ago  Print This Post Demand Propels Home Prices Upward 2 days agocenter_img Data Provider Black Knight to Acquire Top of Mind 2 days ago Mortgage REITs Single-Family Rental Market 2015-10-16 Brian Honea Servicers Navigate the Post-Pandemic World 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago October 16, 2015 1,427 Views The Mortgage REIT sector—an investment class in which participants invest in secondary market mortgages—is unlikely to catch a break in the third quarter due to rate uncertainty, quick prepayments and spread widening, analysts with Keefe, Bruyette & Woods (KBW) said Friday.Still, the single-family rental segment continues to look fairly solid.KBW called the third quarter difficult and estimates mREIT book values will fall 3.5 percent quarter-over-quarter, with more mREITs reporting earning misses than positive results. To make matters worse, KBW noted that “while nearly half the group cut dividends in 3Q we expect management commentary to suggest more cuts ahead.”Overall, the sector continues to brace for heavily discounted books, as rate uncertainty remains a challenge for mREIT investors.Despite all of the pessimism, KBW’s report on single-family rental REITs looked more favorable, with analysts predicting improved net operating income margins on increased occupancy.KBW rated two single-family REITs – American Homes 4 Rent and Starwood Waypoint Residential – as outperform, with price targets of $19.00 and $29.00, respectively, up from current prices of $16.62 and $24.88.Meanwhile, Altisource Residential Corp. and Silver Bay Realty Trust ranked as market perform by KBW.For American Homes 4 Rent, KBW placed the REIT’s occupancy at 93.5 percent in its forecast, while projecting an acquisition of 900 homes. Last month, the American Homes 4 Rent board approved a $300 million share repurchase program—a development that KBW views favorably.Starwood Waypoint Residential is forecasted to acquire 550 homes, with management expected to pay $80 to $120 million in the third quarter on single-family acquisitions. KBW projects the REIT will have a portfolio leased rate of 93.6% and an occupancy rate of 90.7 percent.KBW pointed to Starwood Waypoint’s merger with Colony American Homes as a boon for the firm, saying “while dilutive to book value,” the deal will resolve strategic issues that “SWAY has been facing including scale and its externally managed corporate structure.” Sign up for DS News Daily The Best Markets For Residential Property Investors 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago About Author: Kerri Panchuk Subscribelast_img read more

When Will Distressed Sales ‘Normalize’?

first_img When Will Distressed Sales ‘Normalize’? With much of the talk surrounding the housing market centered on “normalization” or returning to its pre-crisis state, one metric which the market is watching is the distressed sales share—the share of REO and short sales that comprise total residential home sales.For February 2016, the distressed sales share declined by 2.9 percentage points over-the-year (and 0.4 percentage points over-the month) down to 11 percent, according to data released by CoreLogic on Thursday.At their peak in January 2009, distressed sales accounted for nearly one-third of all residential home sales (32.4 percent) but has been declining steadily since then. By comparison, the pre-crisis share of distressed sales was typically around 2 percent; CoreLogic estimates that if the current rate of year-over-year decline continues, the distressed sales share will reach the “normal” pre-crisis level in slightly more than two years.“Prior to the housing crash, the distressed share of total sales averaged about 2 percent,” CoreLogic Chief Economist Frank Nothaft said. Rising home prices have bolstered borrowers mortgage equity, and has been a driver of the large decreases in distressed sales. “If the current housing and mortgage market trends continue, we would expect the distressed sales share to get to the pre-crash level by mid-2018.”February’s REO sales share of 7.8 percent was less than a third of what it was at its peak of 27.9 percent in January 2009. Like the overall distressed sales share, February’s REO sales share was down by 2.9 percentage points over-the-year and is the lowest share for any February since 2007.Meanwhile, the short sales share for February was 3.3 percent, and has remained in the 3 to 4 percent range since falling below 4 percent in mid-2014, according to CoreLogic.All but nine states recorded a year-over-year decline in distressed sales share in February 2016; the five states with the highest share were Maryland (19.9), Connecticut (19.1), Michigan (18), Florida (17.5), and Illinois (17.1) while North Dakota had the lowest distressed sales share at 2.5 percent. But for all the year-over-year declines, only North Dakota and the District of Columbia had a distressed sales share within one percentage point of their pre-crisis levels.California was the state that in February 2016 experienced the largest decline in distressed sales share from its peak. Since reaching a peak of 67.4 percent in January 2009, the distressed sales share in California has fallen by 59.8 percentage points.The five metros with the highest distressed sales share in February were Baltimore (19.8), Chicago (19.4), Tampa (19.1), Orlando (19.1) and Las Vegas (14.1). Governmental Measures Target Expanded Access to Affordable Housing 2 days ago CoreLogic Distressed Sales REO Short Sales 2016-05-05 Brian Honea Home / Daily Dose / When Will Distressed Sales ‘Normalize’? Tagged with: CoreLogic Distressed Sales REO Short Sales About Author: Brian Honea May 5, 2016 1,505 Views The Best Markets For Residential Property Investors 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago Demand Propels Home Prices Upward 2 days ago Brian Honea’s writing and editing career spans nearly two decades across many forms of media. He served as sports editor for two suburban newspaper chains in the DFW area and has freelanced for such publications as the Yahoo! Contributor Network, Dallas Home Improvement magazine, and the Dallas Morning News. He has written four non-fiction sports books, the latest of which, The Life of Coach Chuck Curtis, was published by the TCU Press in December 2014. A lifelong Texan, Brian received his master’s degree from Amberton University in Garland. Sign up for DS News Daily The Week Ahead: Nearing the Forbearance Exit 2 days agocenter_img Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Share Save Related Articles Servicers Navigate the Post-Pandemic World 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago  Print This Post Data Provider Black Knight to Acquire Top of Mind 2 days ago Previous: DS News Webcast: Thursday 5/5/2016 Next: HUD Addresses Affordable Housing Crisis The Best Markets For Residential Property Investors 2 days ago Demand Propels Home Prices Upward 2 days ago in Daily Dose, Featured, News, REO Subscribelast_img read more

Hispanic Homeownership Increased in 2017

first_img Data Provider Black Knight to Acquire Top of Mind 2 days ago Share Save The Best Markets For Residential Property Investors 2 days ago Sign up for DS News Daily February 27, 2018 2,686 Views  Print This Post The Week Ahead: Nearing the Forbearance Exit 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Tagged with: Affordable Housing Hispanics Home Starts Homeownership Households HWP Inventory Labor NAHREP Home / Daily Dose / Hispanic Homeownership Increased in 2017 Demand Propels Home Prices Upward 2 days ago Related Articles Demand Propels Home Prices Upward 2 days agocenter_img Previous: New Bill Addresses Reverse Mortgage Foreclosures Next: Freddie Mac Tracks Serious Delinquencies Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago The Best Markets For Residential Property Investors 2 days ago Homeownership in the Hispanic population increased for the third consecutive year according to a joint report by The Hispanic Wealth Project, and the National Association of Hispanic Real Estate Professionals (NAHREP).The report analyzes Hispanic labor force participation rate, household formation rate, median income and aspirational interest, to evaluate and determine the factors affecting homeownership for this group.Attributing this growth to increasing population, growth in jobs, and household formations, the report found that Hispanics increased their rate of homeownership from 46 percent to 46.2 percent, with a net increase of 167,000 new owner households. “We see from the report’s data the strong enthusiasm for homeownership within the Hispanic community,” said Daisy Lopez-Cid, President, NAHREP. “With a growing Hispanic population and the highest rate of workforce participation, Hispanics are expected to drive growth in the housing market for decades.”According to the report, overall U.S. homeownership rates increased from 63.4 percent in 2016 to 63.9 percent in 2017, with over 1.1 million owner households for all population segments. Of these, Hispanics accounted for 15 percent of the net ownership gains. In terms of household formations, the report noted that Hispanics accounted for 265,000 new household formations or, 28.6 percent of total U.S. household formations representing a modest fall from 340,000 household formations by Hispanics in 2016.Despite these gains, three main factors slowed the growth of homeownership among Hispanics, the report indicated. They included a shortage of housing inventory, natural disasters, and uncertain immigration policy. Giving examples of areas and metros that were heavily populated by Hispanics, the report indicated that affordable housing remained the main concern for the group. The report said that In Las Vegas new home starts were up 9 percent in 2017 but, only 21 percent of those were under $300,000, as compared to 42 percent in 2016. San Diego began 2017 with a surge in new homes priced at $1 million and more even as this metro continued to experience severe supply constraints at the affordable price points. Giving the example of Houston, the report said that Houston saw growth with new home starts up 5.8 percent; however, its greatest increase was for starts above $300,000, which increased by 11.1 percent. Data Provider Black Knight to Acquire Top of Mind 2 days ago Hispanic Homeownership Increased in 2017 Servicers Navigate the Post-Pandemic World 2 days ago Affordable Housing Hispanics Home Starts Homeownership Households HWP Inventory Labor NAHREP 2018-02-27 Radhika Ojha in Daily Dose, Featured, Headlines, Market Studies, News Subscribelast_img read more

Defying Delinquency Trends

first_img Tagged with: Black Knight Delinquencies Foreclosure Mortgage Rates Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Demand Propels Home Prices Upward 2 days ago Seth Welborn is a Reporter for DS News and MReport. A graduate of Harding University, he has covered numerous topics across the real estate and default servicing industries. Additionally, he has written B2B marketing copy for Dallas-based companies such as AT&T. An East Texas Native, he also works part-time as a photographer. Share Save The Best Markets For Residential Property Investors 2 days ago Black Knight Delinquencies Foreclosure Mortgage Rates 2019-03-21 Seth Welborn Data Provider Black Knight to Acquire Top of Mind 2 days ago Related Articles Data Provider Black Knight to Acquire Top of Mind 2 days ago The Week Ahead: Nearing the Forbearance Exit 2 days ago March 21, 2019 2,451 Views February saw its first rise in delinquencies in 12 years, according to Black Knight’s First Look at February mortgage data. Despite the monthly increase, Black Knight noted that delinquencies are 9.5 percent below last year’s level.According to the First Look, February and March are typically high points in the year, mainly due to tax refunds. Despite the increase in delinquencies, foreclosures were down 19.5 percent from January, at 40,400 in February, close to September 2018’s 15-year low. The national foreclosure rate continued to improve and as of February is now down more than 21 percent from last year.CoreLogic’s Loan Performance Insights report noted a similar trend. While February may have lagged behind slightly, delinquency rates are still dropping overall, although recent natural disasters have impacted some states, DS News reported. According to CoreLogic, 10 out of the only 12 metro areas to experience increases in serious delinquency (loans 90 days or more past due) were located in the Southeast, in areas such as Panama City, Florida.”On a national basis, income and home-price growth continue to support strong loan performance,” said CoreLogic President and CEO Frank Martell. “Although things look good across most of the nation, areas that were impacted by hurricanes and other natural hazards are experiencing a sharp increase in the numbers of mortgages moving into 60-day delinquency or worse. One specific example is Panama City, Florida, which was devastated by Hurricane Michael, where 60-day delinquencies rose to 3.5 percent in December.”The total U.S. foreclosure pre-sale inventory rate was 0.5 percent in February, representing a 0.35 percent decline month over month, and a 21.3 percent decline year over year. Additionally, Black Knight notes that prepayment speeds rose by 11 percent from January’s 18-year low. This may indicate an increase in refinance activity driven by the recent decline in 30-year interest rates.Black Knight will release its Mortgage Monitor on Monday, April 1. in Daily Dose, Featured, Foreclosure, Market Studies, News About Author: Seth Welborn Servicers Navigate the Post-Pandemic World 2 days ago The Best Markets For Residential Property Investors 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Subscribe Demand Propels Home Prices Upward 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Home / Daily Dose / Defying Delinquency Trends Defying Delinquency Trends Previous: Experts Sound Off on Fed Rate Decision Next: Charting Freddie Mac’s Course Forward After Layton Sign up for DS News Daily  Print This Postlast_img read more

Companies Investing in Single-Family Rental

first_img Taylor Morrison, in a partnership with Christopher Todd Communities, has announced that it will be building a single-family, rent-only communities in Arizona. CNBC reports that these companies will be building homes aimed at selling to investors.Other companies, including Lennar and Toll Brothers have recently started building homes for rent. Lennar sells its properties to investors, while Toll plans to hold the properties in partnerships.Though the initial plan is to sell to investors, Taylor Morrison CEO Sheryl Palmer told CNBC that they will consider other options in the future.“We’ll determine the right time in the lease-up process to sell the assets. There is plenty of money out there, so we could look at a REIT or private investors, but our intent will be to divest in a pretty timely fashion,” said Palmer. “As we look at the best way to optimize price and returns, it might be to do something on our own and create our own fund or REIT, but sell them out of the Taylor Morrison land portfolio.”As home prices increase, the single-family rental market has been expanding. According to Palmer, half of Christopher Todd’s current tenants are millennials and half are baby boomers, according to Palmer.“The profile of consumers in Christopher Todd shows that these are not people who can’t afford to buy, they choose not to buy,” she said.Data from CoreLogic also indicates that single-family rentals are increasing. CoreLogic’s Single-Family Rent (SFR) Index increased 4.1% since January 2018, according to CoreLogic’s 2018 SFR report, noting that low rental home inventory, relative to demand is fueling the growth of single-family rent prices.“Single-family rentals make up one-half of all residential rentals but are an overlooked segment of the housing market,” said CoreLogic Principal Economist Molly Boesel. “Much like the rest of the housing market, single family rentals are affected by market forces and fell rapidly during the Great Recession. They have since bounced back strongly from their low point in 2010, mirroring house price growth.”  Print This Post Home / Daily Dose / Companies Investing in Single-Family Rental Seth Welborn is a Reporter for DS News and MReport. A graduate of Harding University, he has covered numerous topics across the real estate and default servicing industries. Additionally, he has written B2B marketing copy for Dallas-based companies such as AT&T. An East Texas Native, he also works part-time as a photographer. Companies Investing in Single-Family Rental The Best Markets For Residential Property Investors 2 days ago August 1, 2019 1,397 Views Investment Rental 2019-08-01 Seth Welborn Tagged with: Investment Rental Servicers Navigate the Post-Pandemic World 2 days ago in Daily Dose, Featured, Market Studies, News Demand Propels Home Prices Upward 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Demand Propels Home Prices Upward 2 days agocenter_img Data Provider Black Knight to Acquire Top of Mind 2 days ago Sign up for DS News Daily The Week Ahead: Nearing the Forbearance Exit 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago About Author: Seth Welborn Share Save The Best Markets For Residential Property Investors 2 days ago Subscribe Previous: Coastal Homes at Risk Next: Remembering 30-Year Mortgage Industry Veteran ‘Marti’ Anderson Related Articleslast_img read more

Freddie Mac Settles $1.3B Trust Offering

first_img Servicers Navigate the Post-Pandemic World 2 days ago Demand Propels Home Prices Upward 2 days ago Foreclosure Prevention Freddie Mac Trust 2019-11-27 Seth Welborn Freddie Mac Settles $1.3B Trust Offering Related Articles Seth Welborn is a Reporter for DS News and MReport. A graduate of Harding University, he has covered numerous topics across the real estate and default servicing industries. Additionally, he has written B2B marketing copy for Dallas-based companies such as AT&T. An East Texas Native, he also works part-time as a photographer. in Daily Dose, Featured, News, Secondary Market November 27, 2019 1,853 Views Tagged with: Foreclosure Prevention Freddie Mac Trust Previous: Home Sale Activity Indicating Economic Shifts Next: Q3 Rental Volumes Slip Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Freddie Mac has announced the settlement of the third Seasoned Loans Structured Transaction Trust (SLST) offering of 2019—a securitization of approximately $1.3 billion including both guaranteed senior and non-guaranteed subordinate securities backed by a pool of seasoned re-performing loans (RPLs).Freddie Mac SLST Series 2019-3 includes approximately $1.069 billion in guaranteed senior certificates and approximately $257 million in non-guaranteed subordinate certificates. The right to purchase the subordinate certificates was awarded in September to New York Mortgage Trust Inc.The underlying collateral backing the certificates consists of 8,121 fixed- and step-rate modified seasoned re-performing and moderately delinquent loans. These loans were modified to assist borrowers who were at risk of foreclosure to help them keep their homes.The loans will be serviced by Select Portfolio Servicing, Inc. in accordance with requirements that prioritize borrower retention options in the event of a default and promote neighborhood stability.Advisors to Freddie Mac on this transaction are BofA Securities, Inc. and Nomura Securities International, Inc., as co-lead managers and joint bookrunners, and Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Mischler Financial Group, Inc. (a minority-owned broker dealer certified as a Service-Disabled Veteran Business Enterprise) and Wells Fargo Securities, LLC as the co-managers.To date, Freddie Mac has sold over $8 billion of non-performing loans (NPLs) and securitized more than $60 billion of RPLs consisting of $29 billion in fully guaranteed PCs, $25 billion in Seasoned Credit Risk Transfer senior/sub securitizations, and $7 billion in SLST transactions.Freddie Mac’s last NPL transaction sold 87 NPLs serviced by Specialized Loan Servicing LLC to VRMTG ACQ, LLC, a minority and woman-owned business. The sold pool included $22.0 million in UPB and an average loan balance of $253,100.Given the delinquency status of the loans, the borrowers have likely been previously evaluated for or are already in various stages of loss mitigation, including modification or other alternatives to foreclosure, or are in foreclosure. Mortgages that were previously modified and subsequently became delinquent comprise approximately 69% of the pool balance. Governmental Measures Target Expanded Access to Affordable Housing 2 days ago The Best Markets For Residential Property Investors 2 days agocenter_img Home / Daily Dose / Freddie Mac Settles $1.3B Trust Offering Share Save Data Provider Black Knight to Acquire Top of Mind 2 days ago  Print This Post Servicers Navigate the Post-Pandemic World 2 days ago The Week Ahead: Nearing the Forbearance Exit 2 days ago Data Provider Black Knight to Acquire Top of Mind 2 days ago Demand Propels Home Prices Upward 2 days ago The Best Markets For Residential Property Investors 2 days ago About Author: Seth Welborn Sign up for DS News Daily Subscribelast_img read more

Loan-to-Value Ratios, Credit Scores Rise in Q3 2019

first_img Data Provider Black Knight to Acquire Top of Mind 2 days ago About Author: Krista F. Brock Home / Daily Dose / Loan-to-Value Ratios, Credit Scores Rise in Q3 2019 Share Save Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Tagged with: debt DTI Ratio Loan-to-Value Ratios, Credit Scores Rise in Q3 2019 debt DTI Ratio 2020-01-02 Mike Albanese January 2, 2020 1,487 Views Previous: Where Mortgage Defaults Persist Next: Does Negative Amortization Destroy Negotiability? Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Debt-to-income (DTI) ratios are on the decline, loan-to-value (LTV) ratios are on the rise, and average credit scores for conventional conforming home loans ticked up as of Q3 2019, according to the latest data from CoreLogic. The average DTI for conventional conforming loans was 36% for Q3 2019, down one point from a year earlier. CoreLogic noted that this shift may be a result of a “relaxing of affordability pressures” as mortgage rates eased in 2019. Mortgage rates declined over the first three quarters of the year and were down 1 percentage point on an annual basis in the third quarter of the year. LTV ratios averaged 83% in the quarter—up one point from a year ago. CoreLogic noted that “credit-risk attributes of borrowers have shown dramatic variation in the last 20 years,” but that while DTI and LTV ratios have relaxed overall, “there has been no change in credit score standards.”Also, the high DTI and LTV loans tend to be fully documented “and thus are different than the pre-housing crash high DTI and LTV loans,” many of which were low or no-documentation loans. Over the past few years, new policies loosening credit standards for the GSEs have helped push average DTI and LTV ratios up for conventional conforming home loans. Fannie Mae changed its DTI limit from 45% to 50% in July 2017. From 2012 up to the announcement of this change, the share of conventional conforming loans with DTIs above 45% ranged between 5% and 7%. It rose to a high of 21% in the Q4 2018 and has been dropping over the past year.  The GSEs also loosened LTV standards, leading to a rise in LTV ratios. Fewer than 2% of conventional conforming loans had LTV ratios higher than 95% in 2014. In Q2 2019, the share was 12%. However, while LTV and DTI ratios are relaxing, credit scores are not. Today’s borrowers have much higher credit scores than those borrowing before the housing crash. In 2001, the average credit scores for home purchasers was 705. As of the third quarter of 2019, the average credit score was 754, significantly higher than pre-crisis levels and two points higher than a year earlier.  in Daily Dose, Featured, Market Studies, News Demand Propels Home Prices Upward 2 days agocenter_img Related Articles The Best Markets For Residential Property Investors 2 days ago Krista Franks Brock is a professional writer and editor who has covered the mortgage banking and default servicing sectors since 2011. Previously, she served as managing editor of DS News and Southern Distinction, a regional lifestyle publication. Her work has appeared in a variety of print and online publications, including Consumers Digest, Dallas Style and Design, DS News and DSNews.com, MReport and theMReport.com. She holds degrees in journalism and art from the University of Georgia.  Print This Post Subscribe Demand Propels Home Prices Upward 2 days ago Sign up for DS News Daily Data Provider Black Knight to Acquire Top of Mind 2 days ago The Week Ahead: Nearing the Forbearance Exit 2 days ago The Best Markets For Residential Property Investors 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Servicers Navigate the Post-Pandemic World 2 days agolast_img read more

New Law Extends Protections for Reverse Mortgages

first_img Previous: OCC Debuts Program to Expand Financial Inclusion Next: FHA Proposes Revisions to Single-Family Servicing Policies Related Articles About Author: Chuck Green in Daily Dose, Featured, Foreclosure, News July 14, 2020 1,336 Views A lifeline’s on the way for delinquent reverse mortgage borrowers in the D.C. area, according to the Council of the District of Columbia’s Code.The “Reverse Mortgage Insurance and Tax Payment Program Temporary Amendment Act of 2020” was passed by The Council of the District of Columbia, the local government’s legislative branch, according to Reverse Mortgage Daily. The purpose is to extend the Reverse Mortgage Insurance & Tax Payment Program (ReMIT) in the area. The District of Columbia Housing Finance Agency (DCHFA) launched it in last year.The new law is to extend protections for reverse mortgage borrowers who have entered delinquency.The DCHFA Reverse Mortgage Insurance and Tax Payment Program has been extended—on an emergency basis—by the District of Columbia Housing Finance Agency Act, called the “Reverse Mortgage Insurance and Tax Payment Program Emergency Amendment Act of 2020”, according to Code. Condominium and homeowners association fees also were included as greenlighted uses of the financial assistance by the program.Thirty-two percent of Americans did not make a full, on-time housing payment is July, according to Apartment List. This is up slightly from 30% in June.The report added that missed payments are concentrated among renters, young and low-income households, and residents of dense urban areas.During the first week of July, 19% of Americans had made no housing payment, while an additional 13% paid just a portion of their monthly bill.However, of those that missed the payment in June, 89% said they paid that month’s bill as of the first week of July.The report added that 43% of households earning between $25,000 and $75,000 did not pay their full housing payment in July.Additionally, homeowners between the ages of 45-60 were found to miss the most payments at 22%. An additional 7% made a partial payment.Apartment List’s survey said the share of homeowners concerned about foreclosures rose from 14% to 17%. The Week Ahead: Nearing the Forbearance Exit 2 days ago Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Tagged with: Delinquency Reverse Mortgage Data Provider Black Knight to Acquire Top of Mind 2 days ago Home / Daily Dose / New Law Extends Protections for Reverse Mortgages Chuck Green has contributed to the Wall Street Journal, Washington Post, Los Angeles Times, San Francisco Chronicle, Chicago Tribune and others covering various industries, including real estate, business and banking, technology, and sports. Data Provider Black Knight to Acquire Top of Mind 2 days ago Subscribecenter_img Sign up for DS News Daily Governmental Measures Target Expanded Access to Affordable Housing 2 days ago Delinquency Reverse Mortgage 2020-07-14 Mike Albanese The Best Markets For Residential Property Investors 2 days ago The Best Markets For Residential Property Investors 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago Demand Propels Home Prices Upward 2 days ago Servicers Navigate the Post-Pandemic World 2 days ago New Law Extends Protections for Reverse Mortgages Share Save Demand Propels Home Prices Upward 2 days ago  Print This Postlast_img read more