Finance and Economy Archive
The American Securitization Forum has detailed possible ways regulators could merge mortgage-backed securities offered by Fannie Mae and Freddie Mac in order to close the pricing gap between the two.
The market discounts Freddie securities on the belief these bonds prepay faster because of differences in underwriting and other guidelines. The government-sponsored enterprises always held smaller market share compared to its twin Fannie,
Are the young, multiplying countries of Africa the next frontier? Which countries will be members of the EU in five years? Where is the ground safe in the Middle East? What will happen if things go awry
The housing recovery is expected to grow at an annualized rate of 0.6 percent through the third quarter of this year, then gain momentum and prices are projected to grow 3.7 percent between the third quarters of 2013 and 2014 until settling down to 3.3 percent annual increases over the next three years according to Fiserv, a financial services technology provider using data from the Federal Housing Finance Agency (FHFA).
Both home prices and home sales volumes increased steadily last year, making 2012 the first positive year for both prices and sales since the housing market crash, excluding gains induced by the home buyer tax credits in 2009
Clear Capital recently released its Home Data Index(TM) (HDI) Market Report with data through February 2013. Using a broad array of public and proprietary data sources, the HDI Market Report publishes the most granular home data
The most significant innovation to hit the residential real estate market in decades occurred in 2012 to little fanfare: A first single family REIT (real estate investment trust) went public. For the first time in history, everyday people
Are you just starting to get into the world of real estate investing? As the economy continues to recover, real estate investing is again becoming a popular investment strategy, and for good reason. Real estate investment
Take a moment to consider some of today’s largest, most recognizable companies—“some of them may not be around after the next several years,” says G. Michael Maddock, CEO of Maddock Douglas,
Data through December 2012, released this week by S&P Dow Jones Indices for its S&P/Case-Shiller Home Price Indices, the leading measure of U.S. home prices, showed that all three headline composites ended the year with strong gains. The national composite posted an increase of 7.3 percent for 2012. The 10- and 20-City Composites reported annual returns of 5.9 percent and 6.8 percent in 2012. Month over- month, both the 10- and 20-City Composites moved into positive territory with gains of 0.2%; more than reversing last month’s losses.
In addition to the three composites, nineteen of the 20 MSAs posted positive year-over-year growth – only New York fell.
A bipartisan commission of former Cabinet secretaries, former Senators and other leading housing and economic experts unveiled a new vision for housing policy this week, which aims to further our nation’s economic recovery and improve the lives of millions of Americans. The recommendations propose scaling back the government role in the nation’s housing finance system and reforming housing assistance programs to better meet the needs of America’s most vulnerable households.
The commission is co-chaired by former Senate
How long has it been since you heard the words “sold at a premium over list price?” For the past six years, sales prices ended up somewhere south of list prices by at least five percent. Now, in the markets where
Existing-home sales edged up in January, while a seller's market is developing and home prices continue to rise steadily above year-ago levels, according to the National Association of REALTORS®. Sales rose in every region but the West, which is the region most constrained by limited inventory.
Total existing-home sales, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, increased 0.4 percent to a seasonally adjusted annual rate of 4.92 million in January from a downwardly revised 4.90 million in December,
Exceptionally low interest rates helped ensure a slight gain in nationwide housing affordability amid relatively stable house prices in the final quarter of 2012, according to the National Association
Due to a double-digit dip on the typically volatile multifamily side, nationwide housing starts declined 8.5 percent to a seasonally adjusted annual rate of 890,000 units in January,
Although the economy seems to be transitioning to a slightly stronger growth path, unresolved fiscal policy decisions pose significant headwinds in early 2013, according to Fannie Mae's Economic & Strategic Research Group. Increased taxes and reduced government spending will keep growth at a subdued pace in the first half of the year before activity picks up in the second half. Net exports also are expected to create a drag as Europe remains in recession and U.S. export growth tries to bounce back from a slowdown in late 2012.
On the more positive side, the improving performance of the housing market is expected to continue through 2013. Boosted by strengthening home prices,
Though home foreclosures continue to be a challenge in many hard-hit markets, a report released this week by mortgage technology company FNC indicates the ongoing housing recovery should continue for the long haul.
According to FNC’s Foreclosure Market Report
, foreclosure prices have bottomed out in recent months and the foreclosure market has stabilized while underlying home values are rising. Foreclosure prices are at a 10-year low (when the sizes of foreclosed homes are factored in).
This trend of a rising underlying market accompanied by stabilizing foreclosure prices is the first encouraging development in the housing recession, according to FNC Senior Research Economist, Dr. Yanling Mayer.