Archive for the ‘Mortgage’ Category

Young Women Have Better Credit Scores Than Men

Posted on August 21, 2017 by Laura Lam

A recent Lending Tree survey found points of major disparity in the responses from men and women regarding debt and personal financial health.  The survey’s findings suggest that millennial women are trailing their male counterparts when it comes to income, home ownership and financial satisfaction despite having higher credit scores and responsible financial priorities. According to the survey, women find themselves struggling to pay off higher levels of debt compared to men, much of which comes from student loans. The average total debt for millennial men is $53,017, which is almost 30% lower than the average total debt for millennial…

No Housing Bubble … Just Yet

Posted on August 17, 2017 by Laura Lam

As home prices continue to rise across the U.S., the dreaded b-word is beginning to be heard in some overheated markets.  However, many companies insist that despite the 8.3 million low-income residents who can’t afford their local rent, according to a new study from the U.S. Department of Housing and Urban Development, the housing market is still not in a bubble. The most recent Case-Shiller results pointed out the housing market is growing more expensive, however it is not about to repeat the bubble years.  Ten-X, an online real estate company, became the latest company to explain the housing market is not at risk of…

Delinquency Rate Near 10-Year Low

Posted on August 16, 2017 by Laura Lam

The mortgage delinquency rate reached its lowest point in nearly a decade in May due to tighter underwriting, according to CoreLogic. Also improving mortgage performance were employment growth and rising home prices. About 4.5% of mortgages were in some stage of delinquency in May, a decline of 0.8 percentage point from the previous year when the overall delinquency rate was 5.3%. The serious delinquency rate in May remained unchanged from April at 2%, and was at its lowest since November 2007 when it was also 2%. Frank Martell, CoreLogic president and CEO, credits underwriting practices for the delinquency rate improvements.  “A prolonged…

Homeowners and Appraisers Still Don’t Agree

Posted on August 15, 2017 by Laura Lam

Across the U.S., homeowners continue to overvalue their home in comparison to appraisers, but the gap is narrowing. Homeowners overestimated property value by 1.55% in July.  Home values are also continuing their upward trend, rising 0.33% last month and 4.21% since last July. Appraisals were below homeowner expectations by 1.55%. Still, this is an improvement over the 1.70% difference in June. Real estate values are heavily influenced by local trends and in many of the hottest markets, appraisals actually came in above homeowner expectations, but in other major areas, they were quite a bit lower. “The home appraisal is one…

CMBS Delinquency Down in July

Posted on August 14, 2017 by Laura Lam

Though the Trepp CMBS Delinquency Rate climbed steeply in June, it retreated just as quickly in July. The delinquency rate for US commercial real estate loans in CMBS is now 5.49%, a decrease of 26 basis points from the June level. The rate is now only 2 basis points higher than where it stood at the end of May. Delinquency readings for four of the five major property types fell in July, with the lodging sector being the only one to increase, according to Trepp. According to the report, “After hitting a post-crisis low in February 2016, the reading has consistently…

Homeownership Up From 50-Year Low

Posted on August 09, 2017 by Laura Lam

The U.S. homeownership rate climbed in the second quarter, a signal that the sharp downward spiral that began after the housing crash is finally reversing.  The homeownership rate hit 63.7% in the second quarter, the Census Bureau said, a jump of nearly a full percentage point from a year ago, when it touched a 50-year low of 62.9%. The share of Americans who own homes has climbed steadily since then.  The homeownership rate also edged up from the first quarter, when it sat at 63.6%. “The damage the [2007-09] great recession has done to the homeownership rate is likely reversing course,” said…

Consumers Grow Pessimistic About Future

Posted on August 07, 2017 by Laura Lam

Consumers grew slightly less optimistic in their future this July, however confidence levels remain historically high, according to the Survey of Consumers conducted by the University of Michigan.  Consumer confidence remained largely unchanged for the month, the survey of consumers  revealed.  But this means Americans appear the most optimistic about the current economic situation in U.S. than they have in 12 years. July consumer sentiment ended up at 93.4, the group said. Meantime, economists expected the July measure of consumer attitudes to fall slightly more, to 93.1, according to a survey from Thomson Reuters.  U.S. consumer sentiment last fell to…

Most Americans Die With Debt

Posted on August 04, 2017 by Laura Lam

You’re probably going to die with some debt to your name. In fact, 73% of consumers had outstanding debt when they were reported as dead, according to December 2016 data provided to Credit.com by credit bureau Experian. Those consumers carried an average total balance of $61,554, including mortgage debt. Without home loans, the average balance was $12,875. The data is based on Experian’s FileOne database, which includes 220 million consumers. Among the 73% of consumers who had debt when they died, about 68% had credit card balances. The next most common kind of debt was mortgage debt (37%), followed by…

Senior Home Equity Hits All-Time High

Posted on August 03, 2017 by Laura Lam

Senior homeowners saw an increase in their home equity in the first quarter of 2017, according to a report from the National Reverse Mortgage Lenders Association (NRMLA).  The report showed homeowners aged 62 and older saw their home equity increase by 3.1% to $6.3 trillion in the first quarter. This is up from $6.13 trillion from the fourth quarter. This growth in housing wealth for seniors was driven by an estimated 2.6%, or $199.3 billion, increase in senior home values, and was offset by a 0.6% increase in senior-held mortgage debt which totaled $9.2 billion. The NRMLA/RiskSpan Reverse Mortgage Market Index, a…

Negative Equity Continues Slow & Steady Decline

Posted on July 31, 2017 by Laura Lam

The U.S. negative equity rate – the share of all homeowners with a mortgage that are underwater, owing more on their home than it is worth – fell to 10.4% in the first quarter of 2017, the 20th straight quarterly decline. But the speed at which negative equity is falling has slowed dramatically. The national negative equity rate fell from 10.5% at the end of 2016 and 12.7% in Q1 2016, leaving slightly more than 5 million Americans with a mortgage underwater. The rate is down substantially from its peak of 31.4% in Q1 2012, when more than 15.7 million Americans…