Posts Tagged ‘government report’

Long Strides in Short Sales

September 14th, 2012 Comments off

nationalmortgagenews says, according to a new government report, servicers that work on delinquent FHA (Federal Housing Administration)-insured mortgages are shoring up the agency’s losses on insurance claims because they are becoming more adept at dealing with short sales. The FHA says its servicers completed 27,150 short sales for the first three quarters of fiscal year 2012 ending June 30, a 65 percent spike from the same period last year. The loss rate on the sale of foreclosed properties or REOs (real estate owned) is 71 percent versus 47 percent on short sales. FHA completed 75,550 REO sales in the first three fiscal quarters of 2012, an increase of 11 percent over the same period last year. MHProNews has learned the year-to-date net loss rate declined by 1.5 percent from last quarter due to the increase in short sales.

(Image credit: Washington Post/istock)

Economy Muddles Along

August 2nd, 2012 Comments off

greenvilleonline reports trade group Institute for Supply Management (ISM) says its manufacturing index edged up from June over July 49.7 to 49.8, but still shy of 50, which indicates the economy is contracting. Any reading below 43 would indicate recession. The report notes job growth has stalled and manufacturing activity has weakened amid reports of economic woes in Europe, and lessened demand for U.S. goods in China, India and Brazil because of slower growth in those economies. The government reports construction spending rose for the third straight month, attributable to a rise in homebuilding, suggesting the housing industry may be turning around. Meanwhile, payroll services provider ADP says businesses added 163,000 jobs in July, but economists expect the government report out Fri., Aug. 3 will show only about 100,000 jobs were added, leaving the unemployment rate at 8.2 percent. MHProNews has learned manufacturers added only an average of 10,000 jobs a month in Q2 2012, well below the monthly 41,000 average in the first quarter of this year. Weak consumer spending, which fuels economic growth, fell to 1.5% in the second quarter from two percent in Q1.

(Photo credit: flickreview)