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Posts Tagged ‘lows’

Survey Says: Housing Market Perception Improves

June 10th, 2013 Comments off

HousingWire reports a survey by Fannie Mae reveals ten percent more respondents in May than the previous month said it is a good time to sell a house, while five percent more said it is a better time to buy. Doug Duncan, chief economist at Fannie Mae, noting those who say it’s a good time to sell marked the highest increase in the survey’s three-year history, says, “This jump may foreshadow a gradual return to more normal levels of housing supply from their lows of recent months. In turn, increased housing supply could serve to temper increasing consumer home price expectations.” Forty-six percent say mortgage rates will rise, while 48 percent say rental rates will increase in the next six months. Meanwhile, as MHProNews has learned, 50 percent think it would be difficult for them to obtain a mortgage.

(Image credit: HousingWire)

Sunshine State getting Sunnier

February 22nd, 2013 Comments off

Not long ago Florida had one of the highest foreclosure rates in the country. As HousingWire informs MHProNews, in Jan. closed sales of existing single-family homes rose 11.7 percent over last Jan. to 13,679, while pending home sales for existing single-family homes jumped 31 percent versus last year. The median sales price for a home rose 12.4 percent year-over-year. Florida Realtors President Dean Asher, pointing out the time a house is on the market has fallen 15 percent, says, “This year started out strong for Florida’s housing market. Home sales continue to rise, mortgage rates remain near historic lows and the inventory of for-sale homes is lower than it’s been in years.”

(Image credit: etftrends)

30 and 15 Year Mortgages Hit New Lows

November 21st, 2012 Comments off

OriginationNews tells MHProNews the average 30-year mortgage rate dropped to a new record low, 3.31% in Freddie Mac’s weekly survey. During the week ending Nov. 21 the 15-year mortgage rate also set a record, dropping to 2.63% from 2.65% the previous week. Shorter-term rates moved little or none, as the five-year hybrid remained at 2.74%, and the one year Treasury-indexed ARM (adjustable rate mortgage) rose one basis point to 2.56%. By comparison, a year ago the 30-year fixed mortgage was 3.98%, the 15-year mortgage hit 3.3%, five-year Treasury hybrids were 3.91%, and the one-year Treasury ARMs were 2.79%.

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Composite Metro House Values Edge Up

October 31st, 2012 Comments off

Standard & Poor’s Case/Shiller Index reports in HousingWire U.S. home prices nudged up 0.9 percent in August over July in 19 of the 20 metro areas surveyed. Overall, the ten-city composite index saw an annual price increase of 1.3 percent, while the 20-city composite climbed two percent over last year. Individually, Phoenix experienced an increase of 18.8 percent in home values from a year ago, posting its fourth consecutive double-digit rise in home prices. MHProNews has learned three cities registered annual losses in home values: Atlanta fell 6.1 percent, New York declined 2.3 percent, and Chicago dropped 1.6 percent. David Blitzer, chairman of the Index Committee at S&P Dow Jones Indices, says, “ News on home prices confirms other good news about housing. Single family housing starts are 43% ahead of last year’s pace, existing and new home sales are also up, the inventory of homes for sale continues to drop and consumer mortgage default rates are reaching new lows.”

(Image credit: etftrends)

Historic Lows for Mortgages

September 21st, 2012 Comments off

Theolympian tells MHProNews Freddie Mac says the average on a 30-year fixed rate mortgage (FRM) fell to 3.49 percent from 3.55 percent last week, matching its lowest rate since long-term mortgages began in the 1950’s. The 15-year FRM dropped to its lowest rate ever, 2.77 percent, from 2.85 percent last week, and below its previous record low of 2.80 percent. The Federal Reserve’s announcement last week that it will buy bonds likely pushed the mortgage rate lower, as the Fed attempts to further stimulate the housing market and the economy as a whole.

(Image credit: bankrate)

Interest Rates Keep Dropping—But is it Good?

July 31st, 2012 Comments off

MHProNews has learned from HousingWire 15 and 30-year fixed rate mortgages (FRMs) are continuing to drop to historic lows. While last year at this time a 30-year FRM was at 4.55, as of Thurs. July 26 it had dropped to 3.49% from 3.53% the previous week. While the 15-year FRM last year was at 3.66%, last week it had fallen to 2.83%. Surveying large banks, Bankrate says the 30-year FRM fell to 3.75% from 3.78%, while the 15-year FRM dropped to an even 3% from 3.04%. Meanwhile, analysts with Capital Economics are not convinced that low interest rates are necessarily good for the market. Capital’s Paul Diggle, noting there is no evidence the lower interest rates are spurring housing demand among mortgage dependent buyers, says, “The underlying improvement in sales activity remains heavily dependent on investors and cash buyers, who are attracted to housing in part because of low yields elsewhere.”

(Image credit: Bankrate)

Default Rates Decline

July 18th, 2012 Comments off

MHProNews has leaned from NationalMortgageNews the default rate for both first and second mortgages declined May to June, 2012, with first mortgages defaulting at a May 2007 level, and second mortgages at an eight year low. The composite drop was from 1.5% in May to 1.41% in June, according to S&P/Esperian numbers. In addition, bank card defaults dropped from 4.35% in May to 3.97% in June, reaching its lowest level since the end of 2007. David Blitzer, managing director of S&P Dow Jones indices, says, “Consumer default rates are falling and we are approaching new lows across most loan types. In the last recession most default rates peaked in the spring of 2009; since then the decline has been bumpy but consistent.”

(Image credit: TotalMortgage)

30-year FRM Keeps Falling

July 6th, 2012 Comments off

NationalMortgageNews reports Freddie Mac says ten out of the last eleven weeks the average fixed-rate 30-year mortgage (FRM) has set new lows, with the week just ending July 5 marking another one at 3.62 percent. The average 15-year FRM fell to 2.89 percent. The average five-year hybrid remained at 2.79 percent, while the average one-year Treasury adjustable rate mortgage (ARM) was 2.68 percent. MHProNews.com has learned a year ago the average 30-year rate was 4.6 percent, while the average 15-year rate was 3.75 percent. The average five-year treasury hybrid was the same 2.79 percent, but the one-year Treasury ARM was 2.74 percent.

(Image credit: BankRate)

FRMs Drop to New Lows

May 4th, 2012 Comments off

In Freddie Mac’s weekly primary market survey, the average rate for a 30-year fixed rate mortgage (FRM) fell to 3.84% from 3.88% a week earlier, marking a new low, according to OriginationNews. The previous low was 3.87% for the week ending Feb. 9. The 15-year FRM also fell to a new low for the week ending May 3, dropping from 3.12% to 3.07%. Previously the lowest rate was 3.11%, recorded the week ending April 12. The five-year Treasury hybrid loan stayed at 2.85%, while the one-year Treasury ARM fell four basis points to 2.7%. MHProNews.com has learned the 30-year FRM averaged 4.71% a year ago, while the 15-year FRM averaged 3.89%, the five-year Treasury hybrid was 3.47%, and the one-year Treasury ARM averaged 3.14%.

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Good News, Bad News…

March 7th, 2012 Comments off

According to research done by Moody’s Analytics and Equifax, the total balance of outstanding home loans dropped $1 trillion, 10.4 percent, in the last four years, an indication of consumers getting rid of debt. Although mortgage rates are at historic lows, credit remains tight, which MHProNews.com has learned could be the reason for the outstanding home loans falling in value. At the same time, consumers are responding to more solicitations for credit cards. Equifax Chief Economist Amy Crews Cutts says consumers are set to spend again, according to HousingWire. She says, “The most promise we have seen has primarily been within the consumer spending and auto financing sector, while the housing market continues to see incremental progress toward gaining traction in the coming months.” One point of concern is student loans. As people lost jobs, they returned to school, but that segment is now seeing a higher than normal rate of delinquency.

(Graphic credit: MoneyControl)