Today’s News Synopsis:

Freddie Mac reported mortgage rates dropped for the first time in weeks with 30-year rates now at 3.60% and 15-year rates at 2.87%.  According to the latest data from Redfin, the top three cities that had the best housing markets were Denver, Seattle, and Portland.  For three years now private investors have received part of the credit risk on single-family mortgages from the GSEs, but now it is believed there could be risk involved with this.

In The News:

Housing Wire – “Freddie Mac: 30-year mortgage reverses course, drops” (6-9-16)

“Erasing an upward trend witnessed for the past several weeks, average fixed mortgage rates dropped due to the May employment report coming in well below expectations, Freddie Mac’s Primary Mortgage Market Survey showed.”

Realty Trac – “Down Payment Assistance Programs Save Qualifying Homebuyers More Than $177,000 on Average Over Life of Loan” (6-9-16)

“RealtyTrac^® (www.realtytrac.com), the nation’s leading source for comprehensive housing data, today released a joint report with Down Payment Resource analyzing the impact of down payment assistance on the cost of buying a home — including the down payment and monthly house payments for a median-priced home in 513 counties nationwide.”

Redfin – “Denver, Seattle and Portland are the Hottest Housing Markets of 2016” (6-9-16)

“How do you tell if a housing market is scorching hot? One way is to see what portion of homes are designated Redfin Hot Homes.”

U.S. News – “Real Estate’s New Land of Plenty” (6-9-16)

“Land investing has always been big business and today, it’s starry skies and high hopes for those who tackle it in new ways made possible by better information and business innovation”

Housing Wire – “Trailblazer: Caliber Home Loans markets first non-prime mortgage bond” (6-9-16)

“Irving, Texas-based residential mortgage origination and servicing company, Caliber Home Loans, continues to move into new growth territory.”

DS News – “The Risk Involved With GSE Credit Risk Transfer” (6-9-16)

“While the GSEs remain in conservatorship and taxpayers remain on the hook for mortgage credit risk, the Enterprises have been transferring a portion of credit risk on single-family mortgages to private investors for three years now through various programs like the Structured Agency Credit Risk (STACR) for Freddie Mac and the Connecticut Avenue Series (CAS).”

Mortgage Professional America – “Morning Briefing: These two markets stand-out for underwater homes” (6-9-16)

“As much of the country continues to rebound from the housing crash, there are two areas which stand-out as leading the level of underwater properties.”

 

Bruce Norris will be speaking at Insight 2016: What Inning Are We Really In? on Friday, June 10.

Aaron Norris will be presenting his newest talk Marketing Trends and Strategies for Real Estate Pros in 2016 with CVREIA on Tuesday, June 14.

Bruce Norris will be speaking at the 12th NSDREI Birthday Celebration on Tuesday, June 21.

Image copyright source: www.redfin.com

 

Looking Back:

The number of foreclosures completed was at 40,000 the previous month, showing signs of decrease but still remaining above where they were at before the recession.  Both Fitch and Moody’s were warning investors about the decrease in bond credit quality.  Homeownership was expected to continue decreasing all the way into 2030.