Housing Wire

House Committee Considers TARP Reinvestment

DIANA GOLOBAY — Thu, 09 Jul 2009 22:16:09 +0000

The House Finance Services Committee today heard testimony on HR 3068, the TARP for Main Street Act of 2009. The bill, by the committee’s chairman Barney Frank, D-Mass., reinvests $6.5bn of Troubled Asset Relief Funds to housing and homeownership efforts. It allocates $1bn to build affordable housing, $1.5bn for the US Department of Housing and Urban Development [...]

House Bill Calls for Consumer Financial Protection Agency

AUSTIN KILGORE — Thu, 09 Jul 2009 20:42:07 +0000

Rep. Barney Frank, D-Mass., on Wednesday introduced HR 3126, a House bill that would enact President Obama’s plan to create the Consumer Financial Protection Agency (CFPA). Proponents said in establishing the CFPA, HR 3126 — The Consumer Financial Protection Agency Act of 2009 — strengthens protection for consumers who purchase financial products like mortgages, credit cards [...]

Deutsche Bank Sees Delinquencies Spike with Unemployment

DIANA GOLOBAY — Thu, 09 Jul 2009 16:53:12 +0000

A July securitization report out of Deutsche Bank draws an important link between spiking unemployment, rising delinquencies and plunging home prices. Deutsche researchers note June’s 9.5% unemployment rate is well above the 5.6% level seen a year ago and marks the highest rate since the early 1980s. Much has changed since the ’80s, including the extent [...]

Foreclosure Freeze Had Little Impact: Report

PAUL JACKSON — Thu, 09 Jul 2009 15:14:58 +0000

Widespread foreclosure freezes that began in late last year and ran through the first quarter of this year appear to have done little to change the outlook for troubled borrowers — and may even have made things worse, for everyone involved. A report released recently by due diligence and surveillance specialist Clayton Holdings, Inc. highlights the [...]

Fitch Poised to Take Action on Recent CMBS

DIANA GOLOBAY — Thu, 09 Jul 2009 13:55:43 +0000

Fitch Ratings this week said it expects 2006 through 2008 vintages of commercial mortgage-backed securities (CMBS) to “substantially underperform” earlier vintages. These vintages are vulnerable to significant performance issues, given their origination at peak market conditions and weaker underwriting standards, the rating agency said in a report this week. The news arrives as the latest indication [...]

Home Prices Post First Quarterly Gain Since 2006

JON PRIOR — Thu, 09 Jul 2009 06:24:48 +0000

For the first time since 2006, the nation posted positive quarter-over-quarter price returns in Q209, according to the July Home Data Index Report released Thursday by Clear Capital. Fueled by strong seasonal spring sales in the Midwest, which had a price increase of 5.3% over Q109, the overall US price growth increased by 1.7% in a [...]

Regulators Reveal PPIP Fund Managers

DIANA GOLOBAY — Wed, 08 Jul 2009 20:56:50 +0000

[Update 1 includes details on the FDIC's legacy loans arm of the PPIP] The US Treasury Department officially unveiled the Public-Private Investment Program (PPIP), on Wednesday releasing long-awaited details on the program. The PPIP is divided in two major programs — the securities branch and the loan branch — which together aim to clear mortgage-related securities and [...]

Mortgage Fraud Reports Jump 23% in 2008

JON PRIOR — Wed, 08 Jul 2009 17:45:17 +0000

Suspicious Activity Reports (SARs) including fraud accounts filed by depository institutions in 2008 increased by 13% from 2007, according to the SAR activity review released by the Financial Crimes Enforcement Network (FinCEN). All seven categories of fraud including mortgage loans rose by double digits. Last year, 64,816 accounts of mortgage loan fraud were filed, rising 23% [...]

UK Eyes Financial Reform on Global Crisis

DIANA GOLOBAY — Wed, 08 Jul 2009 17:39:29 +0000

The financial crisis felt so keenly in the US housing market and broader economy has become a global ailment — and necessitates a global remedy — according to a report on the British government’s plans for financial market reform. “The world economy has been hit by a severe financial crisis, resulting in the worst global economic [...]

Low Prices, Rates Spur California Home Sales

AUSTIN KILGORE — Wed, 08 Jul 2009 15:56:01 +0000

After a two-year downturn, California home sales have increased 27% through the end of 2008 and beginning of 2009, spurred by low home prices, mortgage rates and a belief that rates will increase in the near future, according to a survey by the California Association of Realtors (CAR). Lower home prices encouraged 68% of the survey’s [...]