1. US economy chugging along at 3.5% growth
“Gross domestic product increased 3.5% between July and September, according to the U.S. Commerce Department. It exceeded analysts’ expectations and offered more proof of an economy gaining momentum.”
2. Rents are soaring — and so are evictions
“In cities across the United States, millions of people will be kicked out of their homes this year.”
3. Fed ends 6-year effort to stimulate economy
“The Federal Reserve announced the end of its bond-buying program Wednesday, marking the close of a six-year effort to stimulate the economy.”
4. Pending Home Sales Hold Steady in September
“WASHINGTON (October 27, 2014) – Pending home sales rose slightly in September and are now above year-over-year levels for the first time in 11 months, according to the National Association of Realtors®.”
5. U.S. jobless claims rise, but underlying labor market trends firming
” (Reuters) – The number of Americans filing new claims for unemployment benefits rose for a second straight week last week, but remained at levels consistent with a firming labor market.”
6. Mortgage rates increase from 2014 low, Freddie Mac says
“Mortgage rates rose this week from their lowest point in 2014, but lenders still offered a 30-year fixed loan below 4%, according to Freddie Mac’s weekly survey.”
7.Apartment developer sets sights on young families of modest means
“While many Southern California apartment builders are racing to attract hip, single urbanites with lots of cash, one Los Angeles developer is taking a different tack and pursuing young families of more modest means.”
8. Home prices flat in Southern California, Case-Shiller Index says
“A key measure of home prices out Tuesday suggests the California housing recovery has stalled, at least for now.”
9. Fed declares economy strong enough for bond-buying stimulus to end
“In the dark days of the 2008 financial crisis, the Federal Reserve began buying tens of billions of dollars in bonds each month in a controversial, last-ditch effort to stimulate the economy.”
10. U.S. loan applications to buy homes lowest since February: MBA
“(Reuters) – U.S. mortgage applications to buy homes fell to their lowest level last week since February as interest rates on 30-year home loans edged up from the previous week’s 16-month trough, an industry group said on Wednesday.”
11. CORRECTED-S&P in settlement talks with regulators over mortgage securities
“Oct 29 (Reuters) – The parent of Standard & Poor’s on Wednesday said it was in “active” settlement talks with federal and state regulators over its ratings on six commercial mortgage-backed securities.”
12. Is the US heading toward another housing bubble?
“New federal mortgage regulations don’t require significant down payments. And that’s only inviting a repeat of the 2008 financial crisis.”
13. Borrowers find refuge in nonbank mortgage loans
“Nonbank lending is growing as homebuyers rejected by big banks turn toward non-QM loan options.”
14. Jobless claims tick up by 3,000 filings
“Although initial jobless claims ticked up by 3,000 filings to 287,000 for the week ended Oct. 25, levels still remain at historic lows, according to the latest jobs report from the U.S. Department of Labor.”
15. Detroit’s ‘Blight Bundle’ of 6,000 Foreclosures Goes to a Casino Developer
“The identity of the sole bidder in the auction to sell more than 6,000 of Detroit’s foreclosures is no longer a mystery. Herb Strather, a local casino and real estate developer, won the lot for just under $3.2 million. “This is more than just an acquisition of parcels. It’s an opportunity to redevelop the city I was born in and I plan to die in,” Strather said in an interview.”
16. Homeownership in America Has Collapsed—Don’t Blame Millennials
“The U.S. homeownership rate has fallen to a 19-year low. Why?”
17. This Has Never Happened Before Without A Massive Bubble Bursting
“Back in June we first observed that “America’s Most Important Housing Market Signals A Red Alert For Housing Bubble Watchers” and showed the following chart…”
18. PROPERTY TAX: Why Inland homeowners might see higher bills
“Chances are, California homeowners are finding they owe more when they get this year’s property tax bill.”
“There are bigger implications to the economy when rental rates are increasing at a rate faster than wage growth. This is important because we have added 7 million renting households in the last few years. For the moment, it simply looks like more money is going to be funneled into the housing market versus other segments of the economy. If your rent went up by $100, that is $100 that is not being spent on other sectors of the economy. Amazon already showed some hints that consumers are looking tapped out. Of course the holiday spending orgy is around the corner so we shall see. Falling gas prices help a bit but for consumers, housing is the biggest monthly line item expense. Landlords like home sellers are going to charge as much as they can. And with many homes now being owned by large investors, we are seeing steady rent increases in many markets. How far up can rents go? For rental rates, you are capped by what local area households can pay from actual income. It might be useful to examine the rate of increase between wages and rents.”
20. Can ‘Lower Wealth Borrowers’ Save Real Estate?
“We’re soon going to help “lower wealth borrowers” by making mortgages available with just 3 percent down. That’s the word from Mel Watt, director of the Federal Housing Finance Agency.”
21. Completed Foreclosures, Inventory Way Down in September
“Foreclosure inventory and the number of completed foreclosures nationwide both saw significant year-over-year declines in September, according to CoreLogic’s September 2014 National Foreclosure Report released on Wednesday.”