September 2016

Found 20 blog entries for September 2016.

The current pace of home price appreciation, considering that inflation is below the Federal Reserve’s target rate of 2 percent, is probably not sustainable, but the housing market is not in immediate danger of collapse similar to 2008, according to the S&P CoreLogic Case Shiller National Index for July 2016 released Tuesday.

The index is just above half a percentage point from its all-time high—reached in 2006 during the bubble—and home prices appreciated by 5.1 percent over-the-year in July, slightly higher than June’s pace of 5.0 percent. The three cities with the highest over-the-year home price appreciation in July were Portland (12.4 percent), Seattle (11.2 percent), and Denver (9.4 percent).

“The S&P CoreLogic Case Shiller National Index is

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A hot summer of home buying helped boost market conditions across many parts of the country, but in August, large amounts of REO inventory still hinder bottom ranked markets from realizing further recovery.

Pro Teck Valuation Services Home Value Forecastfor August reports that 76 percent of Core-Based Statistical Areas (CBSAs) tracked were classified as being “normal” or above. This is a 6 percent improvement from July’s 70 percent. Pro Teck adds that included in this positive trend, is the fact that for August only 1.4 percent of CBSAs tracked were ranked “weak” or “distressed”.

"A number of factors go into this improvement," said Tom O'Grady, CEO of Pro Teck Valuation Services. "Low interest rates, the loosening of credit, improved employment

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Spouses Do Not Have To Apply Together

Married couples typically apply for a mortgage together.

They can pool their resources to qualify for a bigger home or one that better suits their needs.

But some couples discover that one spouse has a high credit score and the other does not.

More than 20 percent of the U.S. population has a credit score below 600 according to Fico.com. Statistically, many couples are in a relationship with someone with a very different credit rating.

But there is a way to qualify in this situation. Just one spouse or partner can apply for the mortgage.

Your Lender Uses Only One Of Your Three Scores

Mortgage lenders rely heavily on your FICO credit score to determine whether to lend you money and at what

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August in the housing market remained steady as warm breeze, with inventory tight and house prices growing slowly, Zillow reported Thursday. For the 49th month in a row, in fact, the median U.S. home value rose year-over-year in August, to $188,100. That’s up a really modest 0.4 percent, but up 5 percent from August 2015, according to Zillow’s August Real Estate Market Report.

“In each month thus far in 2016,” the report stated, “annual home value growth has been no slower than 5 percent per year, and no faster than 5.2 percent – a notable stretch of consistency.”

According to Zillow’s chief economist, Svenja Gudell, the steady appreciation of the  U.S. housing market began two years ago.

“Throughout much of 2015, home values grew in a similarly

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Despite strong sales and shrinking inventory, the recent Redfin Housing Market Tracker from Nela Richardson, Chief Economist for Redfin, states that home prices rose at the slowest pace of the year, up just 4.4 percent from last year.

The report states that the average home sold for 93.8 percent of its list price. This was down from 94.4 percent last year which Richardson states signals that buyers’ bargaining position increased in August.

Home sales increased 14.2 percent in August from a year ago, according to the report and this was noted to be a sizeable rebound from July’s decline. Richardson states that this is widespread, with 48 of 91 metro areas reporting double-digit increases in sales.

The boost is cited to be due in part to a calendar

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Core Logic recently released its latest Mortgage Fraud Report and as of the end of the second quarter of 2016, the report shows a 3.9 percent year-over-year increase in fraud risk. This is measured by the CoreLogic Mortgage Application Fraud Risk Index.

According to CoreLogic, this analysis found that during the second quarter of 2016, an estimated 12,718 mortgage applications, or 0.70 percent of all mortgage applications, contained indications of fraud. This is compared to the number of applications reported in the second quarter of 2015 of 12,814, or 0.67 percent.

“Mortgage application fraud risk will likely rise over the next few years if current trends of higher LTV purchases and increased credit availability continue,” said Bridget Berg, senior

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The  U.S. Department of Housing and Urban Development’s (HUD) latest housing scorecard provides a snapshot of the recovery of our nation’s housing market during August, according to a recent report from the agency. HUD states that as they look back, the agency has witnessed notable progress among key indicators. These include a surge in new home sales, increasing home values, and a continued decline in foreclosure starts and completions. HUD states that although this scorecard notes that the housing market is on a healthy trajectory, they believe that the industry must still stay committed to helping American families and homeowners.

HUD dives deeper into these indicators so further assess the health of the housing market first noting that July

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Those born in the 1970s have fallen from having a 4 percent higher than normal homeownership rate in 2004 to a 7 percent lower than normal homeownership rate today, according to a report from John Burns, CEO of John Burns Real Estate Consulting.

Burns states that the housing crisis hit those home buyers born in the 1970’s harder than any other generation. Burns shares that this generation should be referred to as the Foreclosure Generation. In 2004, those born in the 1970s were 25–34 years old, forming families, and ready to buy their first home at the same time that mortgage credit was flowing freely according to Burns. That year, he states that approximately 50 percent of this generation owned their home and this percentage was 5 percent higher than

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OwnAmerica is now providing an online service for institutional and retail investors to estimate the value of performing, tenanted rental houses, and analyze their asset quality, according to a recent announcement from the company.

"This is part of a movement to create a market for investor-to-investor sales of rental homes, so buyer and seller have an economic gain, while tenants have the stability of being able to remain after the property sells," says Greg Rand, CEO and Founder of OwnAmerica. "Tens of thousands of renters are given notice every month that they have to vacate their house because the owner wants to sell. That makes no sense."

The company reports that the new, free service, called Portfolio Visualizer provides investors

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