'Substantial' Discounts Still Offered on Foreclosures
Could the foreclosure crisis finally be fading away? REO and short sales 
comprised
about 11 percent of total home sales in July, the lowest share since
December 2007, CoreLogic reports. "The ongoing shift away from REO sales
is a driver of improving home prices, as REOs typically sell at a
larger discount than do short sales," CoreLogic notes. The pre-crisis
share of distressed sales typically was about 2 percent, so analysts say
there is still a ways to go. Distressed
sales are making up a shrinking share of sales nationwide, but the
average discount on them continues to be “substantial,” says Daren
Blomquist. See the median sales price of distressed residential properties.
Pending Home Sales Up
Pending home sales inched up slightly in September, and for the first time in 
11 months, they were above year-ago levels, according to the National Association of REALTORS®' Pending Home Sales Index. "Housing supply for existing homes was up in September by 6 percent from a year ago, which is preventing prices from rising at the accelerated clip seen earlier this year," However, tight credit conditions continue to be a barrier for many borrowers, NAR notes. The
Pending Home Sales Index rose 0.3 percent in September to 105. That's 1
percent above the September 2013 reading and the second-highest level
since that time, See 2014 Housing Statistics:
Don’t Get Intimidated by Closing Costs
At
the end of the home-buying process, you will be faced with closing
costs, the fees due at signing required to complete a home sale. 
Closing costs can be expensive, but some of those fees may be negotiable. Check the Market Temperature The
nature of the housing market may dictate whether the buyer or the
seller picks up various closing costs. If it’s a buyer’s market—a bit
cold and homes aren’t selling well—sellers may be more willing to
bargain and take on some closing costs. If
it’s a seller’s market—the market is hot and homes are selling
quickly—the seller has the advantage and little incentive to give the
buyer a break. However, you shouldn’t accept any fishy-looking fees without asking first. Which Closing Costs Are Negotiable?
What are closing cost, read more.
Biggest Benefits of VA Loans
VA home loans are making a huge difference for a new generation of military home buyers. During a time of tight mortgage lending, these 
government-backed loans are absolutely booming. The reason for the resurgence: VA loans provide some key home buying benefits that, when taken in total, other financing options can’t match. No Down PaymentThis
is the program’s defining benefit. Qualified buyers can purchase up to
$417,000 in most parts of the country before having to factor in a down
payment. Borrowers in costlier areas can go even higher.
Here’s a look at the four biggest benefits of VA mortgages.
"A Victory For Consumers"
Rates Haven’t Been This Low Since 2013: 30-year fixed-rate mortgage 
dipping this week, staying below the 4 percent threshold and keeping borrowing costs at the lowest rate in more than a year. And the mortgage-financing environment for households could improve as a result of a rule federal regulators put in place Tuesday.
The Federal Deposit Insurance Corporation is the first of six financial
regulators to release the final version of the long-awaited qualified
residential mortgage (QRM) rule. Because the QRM loan comes without the risk-retention requirement, lenders
should be able to make more loans — and for cheaper — because they
don't have to pass along that risk-retention cost to borrowers. QRM Rule Opens More Doors for Consumers, read more.
Home Equity ReboundMore home owners are eeking out equity again on their properties,
but with slowing
home appreciation, millions of home owners may still be at risk of
foreclosure. Equity-rich properties – those with at least 50 percent
equity – grew to 10.8 million, or 20 percent of all properties with a
mortgage, in the third quarter, according to U.S. Home Equity &
Underwater Report. That percentage is up from 19 percent of properties
in the second quarter of 2014.Another
8.5 million properties – or 16 percent of all homes with a mortgage --
are teetering on the edge of equity, with between 10 percent of negative
equity and 10 percent of positive equity. But many home owners have yet to regain equity. The number of properties with negative equity has fallen to the lowest level, Learn more.
Fewer Homes Are Standing Vacant
1 in 3 Homes Is a Rental, A growing number of single-family homes have become rentals, according to the findings from the newly released 2013 
American Housing Survey. The report takes a look at the nation’s housing stock and provides information on the housing quality and make-up.
The
report shows that 65 percent of all housing units were occupied by
owners in 2011, while 35 percent were occupied by renters. Fewer homes
are standing vacant. Of the 133 million total housing units in 2013, 87
percent were occupied—an increase of 413,000 since 2011.
The housing stock is reportedly having fewer maintenance issues, read more.
Housing Starts Largest Gains In The West
The
breaking of ground on new homes and apartments increased 6.3 percent in
September to reach an annual 1.02 million-unit-pace. 
That's
the third time this year the rate has reached the one-million mark,
which is considered a vital milestone in the home building industry. Most of the gains, however, were attributed to a surge in multifamily production,
which rose 16.7 percent month-over-month, while single-family housing
starts had a more modest 1.1 percent increase, according to new figures
from the U.S. Census Bureau and U.S. Department of Housing and Urban
Development. Economists
say the gain in housing starts and permits in September signals the
new-home sector is making a modest recovery and is showing signs of
strengthening, read more.
Mortgages More Affordable
Fannie, Freddie to Loosen Up on Lending: Mortgage financing giants Fannie Mae and Freddie Mac, together with their federal regulator. 
Fannie
Mae and Freddie Mac is reportedly working on a deal with the financing
entities that will loosen up lending standards and make mortgages more affordable for those with less-than-perfect credit. The move is expected to expand home buyers’ access to financing, as tight credit the last few years has kept many sidelined. The
new rules reportedly will include a lower minimum down payment
requirement (from 5 percent to 3 percent), in order for lenders to
qualify to sell a loan to Fannie Mae and Freddie Mac. That would bring
down payment, which
insures loans made to lower-income borrowers and first-time buyers, Learn more.
Rapidly Diminishing REO Foreclosure
As the number of foreclosed home sales rapidly falls, Yun
notes that seriously delinquent mortgages and homes in some stage of
foreclosure still are currently elevated compared to historical norms,
but that’s mostly been centered in a few states where the processing of
foreclosures has lagged. Foreclosed
sales comprised about 6 percent of all home sales transactions in
August, down from double-digit figures last year. By next year,
foreclosure sales are projected to shrink to 1 to 3 percent, which will
put it in line to historic norms, “Fewer distressed properties will also help with the overall appraisal process of not using bad comparables,” read more.
Mortgage Rates Dip Below 4%
Borrowing costs sank to the lowest amounts in more than a year as the 30-year-fixed rate mortgage averaged 3.97 percent this week, 
Freddie
Mac reports in its weekly mortgage market survey. The 30-year
fixed-rate mortgage is at its lowest average since the week of June 20,
2013, when it averaged 3.93 percent. How Much Home Can You Afford?
Looking at sprawling villas in the suburbs and 2,000-square-foot
condos in the middle of downtown is one thing. How much home you
can afford may be entirely different. Of
course, there’s nothing wrong with looking. But when it comes down to
finding a place that fits perfectly in looks, size and price, you need
to know your affordability factor. What Is Your Family Plan?
HOAs Foreclose Leaving Banks Empty-Handed
Mortgage lenders and housing investors are squaring off in Nevada over a 
court decision that has allowed thousands of foreclosed homes to be sold for pennies on the dollar,
in a case that could have big implications on an already-tight
home-loan market across the country. The tension stems from homeowner
associations who put liens on properties when home owners stop paying
their HOA dues. Homeowner associations, similar to lenders, can
foreclose on homes to recoup delinquent payments.
Nevada, as well as 20 other states, has laws giving HOA liens priority over first mortgages. That
allows HOAs to put a home up for auction and sell it without the
mortgage lender's approval, eliminating the first mortgage and then
allowing an investor to secure the title of the home, read more.
You Don’t Need to Be Perfect Small Lenders Bend
Borrowers with minor imperfections on their credit applications — like a 
brief loss of employment or a temporary dip in their credit score — are starting to have better luck at snagging a loan with smaller lenders, Bloomberg reports. At least 15 smaller firms this year are offering slightly riskier mortgages, which in some cases come with higher interest rates and larger down payment requirements and aren’t backed by the government. “The market is beginning to realize that if you make smart and sound loans to people who don’t fit in the narrow box, it doesn’t make them a worse risk.”Where big banks are stepping back, small banks are stepping in, learn more
This Fall's Housing Trend to Watch
Housing, Mortgage and Buyers are a few of the Trends that will make a big 
impact on the Housing Industry this Fall. In The housing market is expected to heat up this fall, despite buyers showing greater signs of being conservative in their home purchases. Bankrate recently highlighted some of the following trends to watch this fall in the nation’s real estate market. "I think we are going to see steady growth in the coming months. But expects the 30-year fixed-rate mortgage to start its climb to 4.5 percent by the fourth quarter, and continue to gradually climb and reach 5 percent by mid-2015" See overall housing activity.
Wave to Make Big Impact on Housing"More Americans Are Going Solo,” Half of all American
adults now live in one-person
households, a rapidly growing number. The singles demographic is likely
to reshape multifamily communities and single-family home designs going
forward, according to Builder Online. In 1976, only 37 percent of adults were single.
As of August, that percentage has bloomed to 50.2 percent. It marks the
first time that single Americans make up the majority of the adult
population. “Thanks
to the growth of single-adult households, floor plans will go from
static to flexible as living arrangements change more frequently,” Affordability will be key, since single home buyers will have less income per household than dual-earner couples, read more.
Ski Homes Next Big Thing Utah "Greatest Snow on Earth,"
With Winter approaching, Ski Home are the Next Big thing along with Interest Rates Falling Back to 
Yearly
Lows. Borrowing costs were down once again this week, giving home
buyers another opportunity to lock in some of the lowest rates of the
year. 30-year fixed-rate mortgages: dropping from last week’s 4.19 percent average. Last year at this time, 30-year rates averaged 4.23 percent. Utah’s
has been branded with the "Greatest Snow on Earth," which brings skiers
and snowboarders from around the globe to make fresh tracks in this
fluffy deep powder.
Watch Utah's Video on "Greatest Snow on Earth," better yet Visit Utah's Ski resort in person.
Best Time To Get a Rental Deal?
Rents
have been on the rise in most U.S. cities, and if it’s been a while
since you've shopped for a new rental deal, you’re probably feeling the
pinch. While 
some
have seen the rents in their area go up significantly, you still might
be able to score a great rental deal this autumn. The fall and winter
seasons have historically been better for renters than landlords.
It still might be true—to a point. For
renters hoping to pay the lower rates they enjoyed before the rent
market exploded, this isn't great news—but there is still a way to find a
good deal. By
renting in the off season, you’ll already see lower rates than you would
have just a few months before. To make the deal even sweeter, many
landlords will be more willing to negotiate when they have fewer
potential tenants to choose from. Finding a Good Rental Deal
Chinese Buyers Increasingly Targeting in U.S. Real Estate
More
Chinese home buyers are shifting their focus, which traditionally has
been on real
estate in Malaysia, Singapore, Canada, and Australia, to
snatching up property in the U.S., Yahoo! Finance reports. In
February, 2014 Buyers From China Target 10 U.S. Cities know Wealthy
Chinese buyers are increasingly targeting U.S. real estate to invest
some of their fortunes. A quarter of all American real estate
sold to foreigners last year was to Chinese buyers, who now make up the
largest group of foreign buyers in the nation. In the 12 months ending
in March, Chinese buyers spent $22 billion on U.S. real estate, up 72
percent from a year earlier and Chinese buyers tend to pay nearly twice the national average for homes here, See what other City they are purchasing homes.
Are Home Price Gains Easing
The headline for much of this year has been that home price gains are 
easing.
Prices are still higher compared to last year, but not nearly as much
as they had been. Now, suddenly, it looks as if home values could
actually go negative on a national level. The West is Key to Every Market, For a glimpse of where the overall housing market may be heading, look west, according to report from Clear Capital. After all, the West boasts some of the largest metro markets in the nation. But some economists view the easing in appreciation from last year as a healthier overall sign for the housing market, read more.
Only 30% of Condo Buildings are FHA
Prospects of Condo Comeback Are High: Condo sales have been on a roller coaster ride in recent years, as the recession hit the sector hard.
But is the country ready for a condo revival? In 2005, condo sales
surged to 12.7 percent of all home sales. But the financial crisis
caused the condo market to recede — even more so than the single-family
market — with sales falling to 10.7 percent of all home purchases in
2009. "Condo sales moved sideways several years after the recession before picking up steam again in 2013," This year, it continues to rebound and currently accounts for 12.3 percent of all sales in 2014. Nationally, only about 30 percent of condos are approved for FHA financing, and even fewer are VA-approved. A condo project that receives FHA or VA approval is more likely to attract a larger pool of qualified buyers. Watch our video and give us a call, We can help.
Could 15 Year Mortgage Product Change Lending?
Two mortgage executives are hoping to overhaul the 15-year mortgage, making it more readily available to low and moderate-income people.
They say the changes will help borrowers build equity at a much faster pace
than they would with a standard loan. Typically, the monthly payment on
a 15-year loan is higher than a 30-year loan, since the loan amortizes
faster. In order to make the monthly payments more affordable, however, the
Wealth Building Home Loan will have an offering rate that is about
three-quarters of a percentage point below the 30-year FHA rate. The
Wealth Building Home Loan is a 15-year mortgage with a fixed interest
rate that requires little or no down payment and has no additional fees. read more.
Expensive Neighborhoods For Renters In 2014
14 Priciest Neighborhoods for Renters:
Rents have been on the rise across the country in recent years, but
where, specifically, are renters facing some of the highest costs? 
A list of the most expensive neighborhoods for renters in
2014, factoring in more than just the monthly rent. How much of a renter’s paycheck goes toward rent
(most financial experts recommend no more than 25 to 30 percent of one’s
monthly income go toward rent); the median monthly household income;
overall cost of living; and inflation. Nationally, the average monthly cost to rent a one-bedroom apartment in August was $939, according to CoStar housing data. But Field Opens for Buyers, With investors pulling back, conventional home buyers are finding their way back into the market, read more.
Interest Rates Sinks This Week
30-Year Mortgage Sinks This Week: Mortgage rates are falling, despite the cuts to
the Federal Reserve's monthly bond purchases that were expected to send long-term rates
higher. The 30-year fixed-rate mortgage, the most
popular choice among home buyers, averaged 4.19 percent this week, down
from a 4.53 percent average at the start of the year, Freddie Mac
reports in its weekly mortgage market survey, ending Oct. 2. National House Price, Yun
gives an overview of pending home sales so far this year, talks about
new home construction, the slight increase in inventory, and shadow
inventory. Yun
says first-time buyer participation should gradually improve despite
tight credit conditions and the inevitable rise in rates. “See his forecast for the housing market through the end of 2014 and into 2015.
Is The Housing Market Tilting Toward Buyers?
Mortgage application activity dropped slightly at 0.2 percent in the latest week ending Sept. 26, even though borrowing costs moved lower during the week,
according to the Mortgage Bankers Association’s. While applications for
home purchases held the same as the previous week. While the average interest rate for government loans is slightly lower
than those for conventional loans, FHA insurance premiums, as well as
average credit scores, have increased and are sidelining some
lower-income borrowers. "With
investors pulling back, the market is shifting more towards traditional
and first-time buyers who rely on mortgages to purchase a home," loan originators to urge potential borrowers to lock in rates now if their closing is within 30 days, read more.
Hot Spots for Single-Family Rental
RealtyTrac named 16 U.S. counties as high-risk, high-yield hot spots for single-family rental
investing in its Q3 2014 Residential Property Rental Report released
on Thursday. The report, analyzed median sales prices for residential
properties and average fair market rents for three bedroom properties in 586 U.S. counties with a combined population of 218 million people — 71 percent of the total U.S. population. Rental returns were calculated using annual gross rental yields:
the average fair market rent of three-bedroom homes in each county,
annualized, and divided by the median sales price of residential
properties in the third quarter. The
average fair market rent divided by the median sales price of
residential properties for Q3 comprised the annual gross rental yield,
which was used to calculate rental returns, See the Hot Spots.
Eight States Sold Distressed Homes at Less Than Half Price
Eight states reported a median sales price for distressed homes at less than half the sales price of non-distressed homes in August, according to a report recently released. RealtyTrac defines a distressed
sale as "the sale of a residential property that is actively in the
foreclosure process or bank-owned when the sale is recorded." Distressed sales accounted for 13.5 percent of all single-family residential home sales in the U.S. See which distressed homes were sold at a discount of more than 50 percent, read more.
