Posts Tagged ‘housing’

Foreclosure Activity Hits Post-Recession Low in April

Posted on June 08, 2017 by Laura Lam

ATTOM Data Solutions released its April 2017 U.S. Foreclosure Market data, which shows foreclosure filings – default notices, scheduled auctions and bank repossessions – were reported on 77,049 U.S. properties in April, down 7% from the previous month and down 23% from a year ago to the lowest level since November 2005. “Foreclosure activity continued to search for a new post-recession floor in April thanks in large part to the above-par performance of mortgages originated in the past 7 years,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. “Meanwhile we are seeing an elevated share of repeat foreclosures…

Mortgage Origination Volume Hits 5-Year High

Posted on June 01, 2017 by Laura Lam

First lien originations jumped in 2016 to $2.1 trillion, the highest point since 2012, according to a report from the Urban Institute.  Of these originations, the share of portfolio originations increased to 30.9%, up from 30.2% in 2015, the report shows. The GSE share increased to 45.9%, up from 45.7% the previous year and the FHA and VA share decreased to 22.8%, down from 23.3% in 2015. The chart shows, unlike pre-crisis years, private-label securities no longer hold a significant share in the market. In both 2015 and 2016 the share of private-label securities totaled well below 1%. But despite the increase…

American Households Spend 53% of Its Income On These Expenses

Posted on May 19, 2017 by Laura Lam

If there’s one fairly steady theme over the past couple of decades, it’s that consumers are saving less of their income and their household budgets are being pushed to the limit.  According to the St. Louis Federal Reserve Bank’s February data, the personal saving rating in America was a paltry 5.6%. Comparatively, U.S. workers were socking away more than 12% of their paycheck 50 years ago.  At the same time, a number of household expenses have largely outpaced the inflation rate and wage growth. These include healthcare costs, college expenses, and in recent years housing costs, since home prices have…

Housing Confidence Dips in March

Posted on April 25, 2017 by Laura Lam

Americans came down off their confidence high in March as fewer say now is a good time to buy a home, according to Fannie Mae’s Home Purchase Sentiment Index.  The index decreased 3.8 percentage points to 84.5 in March, down from February’s survey high. “Home purchase sentiment gave back some of the gains accumulated over the prior two months that sent the index to its survey high in February,” said Doug Duncan, Fannie Mae senior vice president and chief economist. “Strong home price appreciation has turned into a double-edged sword for the housing market as it boosted the net share…

Homebuilder Confidence Slips in April

Posted on April 19, 2017 by Laura Lam

Confidence among homebuilders cooled in April after jumping a month earlier to the highest level since mid-2005, according to data from the National Association of Home Builders/Wells Fargo.  Builder sentiment eased to 68 in April from a reading of 71 in March that was the strongest since June 2005. The median forecast in a Bloomberg survey was for 70; readings greater than 50 indicate more respondents reported good market conditions. The measure of the 6-month sales outlook fell to 75 after a reading of 78 that matched the highest since 2005. The index of current sales cooled to 74 this…

Home Equity Loans on the Rise

Posted on April 11, 2017 by Laura Lam

Mortgage lenders, along with borrowers, are starting to welcome home equity lines of credit back into the market after the loan product began to disappear in the wake of the financial crisis.  Given their growing prominence in the market, a new report from the American Bankers Association’s Consumer Credit Delinquency Bulletin provides a current pulse on the health of the product by looking at delinquencies.  The report looked at both closed-end loans and open-end loans, since home equity loans fall into both categories. Bankrate explains that there are two types of home equity loans: term, or closed-end loans, and lines of credit, open-end loans.  A home equity…

Continued Good News For Housing

Posted on March 28, 2017 by Laura Lam

After several years of job gains combined with the hope that the best is yet to come in 2017, consumer confidence surged, according to the new consumer report from the National Association of Realtors.  In the first quarter of 2017, NAR’s quarterly Housing Opportunities and Market Experience survey found that the number of households that believe the economy is improving soared to its highest share in the survey’s 5-quarter history – 62%. This is up from 54% in the fourth quarter and 48% in March 2016. While this surge in confidence is not exactly unexpected, it is encouraging news for the…

Landlords Take Over the Housing Market

Posted on March 13, 2017 by Laura Lam

As rising home prices, slow new home construction, and demographic shifts push homeownership rates to 50-year lows, the U.S. is increasingly a country of renters – and landlords.  Last year, 37% of homes sold were acquired by buyers who didn’t live in them, according to a new report published by Attom Data Solutions and ClearCapital.com Inc. That number may include second homes, or properties acquired by investors who seek to fix up old homes and resell them at a profit. But it’s also a strong indication that landlords are playing a larger role in the U.S. housing market.  In the years following the foreclosure…

Mortgage Delinquencies On the Rise

Posted on March 01, 2017 by Laura Lam

Despite a rise in the mortgage delinquency rate in the fourth quarter of 2016, the slight uptick follows a record-low third-quarter report, according to the Mortgage Bankers Association’s national delinquency survey.  The report stated the delinquency rate for mortgage loans on one-to-four-unit residential properties increased to a seasonally adjusted rate of 4.80% of all loans outstanding at the end of the fourth quarter of 2016. This is up 28 basis points from the previous quarter and is 3 basis points higher than one year ago. Meanwhile, the foreclosure starts rate decreased 2 basis points, falling to its lowest level since 1988….

Flipping Out: House Flips Reach Highest Level Since 2006

Posted on February 28, 2017 by Laura Lam

A tactic that helped define the height of homebuying madness in the U.S. in the years before the market collapsed is rearing its head again.  Home flippers, who buy homes as a speculative bet on short-term price appreciation, accounted for 6.1% of U.S. home sales in 2016, according to Trulia, which defines a flip as a property sold twice in a 12-month period in arm’s-length transactions. That’s the highest share since 2006, when flips accounted for 7.3% of sales. Flipping has made a strong comeback in cities that were battered by the foreclosure crisis. That includes Las Vegas, where 10.5%…