Today’s News Synopsis:

The Mortgage Bankers Association reported a 2.1% decrease in mortgage applications from last week.  Existing-home sales also declined last month by 3.2% according to the National Association of Realtors.  Airbnb may be facing some changes as local governments are attempting to pass new rules that will prevent the company from doing short-term rentals.

In The News:

Wall Street Journal – “Want to Book an Airbnb Stay?  Not So Fast” (8-23-16)

“Airbnb Inc. is shaking up the hospitality industry by helping turn people’s homes into hotel rooms. Now it is facing turbulence of its own.”

Mortgage Bankers Association – “Mortgage Applications Decrease in Latest MBA Weekly Survey” (8-24-16)

“Mortgage applications decreased 2.1 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending August 19, 2016.”

Bloomberg – “Hedge Funds See Biggest Redemptions Since ’09 as Returns Lag” (8-24-16)

“For hedge funds, the news is getting worse.  Investors pulled an estimated $25.2 billion from hedge funds last month, the biggest monthly redemption since February 2009, according to an eVestment report.”

Nasdaq – “Six Key Charts That Tell The Market Story” (8-24-16)

“It continues to be a quiet week with stocks holding highs and yields continuing to hold near the lows.  Today I want to take a look at six charts that would typically tell you about all you need to know the market environment and the outlook.”

PR Newswire – “Certified Audit Reveals top Marks For The Growing Real Estate Lending Platform” (8-24-16)

“SHARESTATES, a growing online lending platform for real estate investment properties, announced it got high marks from USProServ, LLC, an outside consultancy that specializes in compliance remediation, network infrastructure and data security for financial/insurance companies.”

Bloomberg – “The 401(l) Is Wreaking Havoc on Retirement” (8-24-16)

“The shift from pensions to 401(k) plans is making retirement inequality much worse—and education is what separates the haves from the have-nots, a new study has found.”

DS News – “Millennials: Are We Boxing Them Out of the Housing Market?” (8-24-16)

“As the upper millennial population enters its 30’s, the heavy concentration of downtown dwellers that has been growing steadily for over a decade is finally beginning to peak.”

National Association of Realtors – “Existing-Home Sales Lose Steam in July” (8-24-16)

“Slowed by frustratingly low inventory levels in many parts of the country, existing-home sales lost momentum in July and decreased year-over-year for the first time since November 2015, according to the National Association of Realtors.”

 

Bruce Norris will be presenting his newest talk Stay Put, Cash Out, Or Change Seats? with InvestClub for Women on Wednesday, September 21.

Bruce Norris will be presenting Stay Put, Cash Out, Or Change Seats? with InvestClub for Women and Robert Hall & Associates on September 28.

Bruce Norris will be presenting Cashing In On a Boom: Investing in Quadrant 4 at the Back Bay Conference Center on Saturday, October 8.

Bruce Norris of The Norris Group will be presenting the 9th annual I Survived Real Estate 2016 on Friday, October 21.

 

Looking Back:

The outlook for economic growth in the second quarter was below positive expectations according to Fannie Mae, primarily due to a decrease in equipment and structure investments on nonresidential properties.  Many were beginning to question if the Fed would continue with their plan to raise rates after seeing recent losses in the stock market.  Homes were in tight supply at this time according to Redfin.