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Tax Credit Stirs Sales in Local Markets
Spurred by the pending demise of the federal homebuyer tax credit, buyers are awakening from their snowy winters' nap.
Mortgage Rates Rise on Cue
By: Steve Cook; Thu, Feb 25, 2010
With four more weeks of mortgage surveys to go before the full psychological impact kicks, we'll know whether Freddie's rates are a trend or an anomaly.
Obama Aids Big Bust States
By: Steve Cook; Fri, Feb 19, 2010
However, the latest foreclosure data shows foreclosure rates are falling in three of the five states where he is sending the aid but rising in heartland states which have not previously experienced widescale foreclosures
Homebuyer Tax Credit Warms up Spring Home Sales
By: Steve Cook; Tue, Feb 16, 2010
Record snows may still clog driveways and carpet lawns with ice but the spring real estate market is kicking off across the country earlier than normal as buyers push to make the April 30 tax credit deadline.
“The Federal Government Has Become the Mortgage Market”
By: Steve Cook; Tue, Feb 9, 2010
Federal programs now stretch from origination to guarantor to securitization and finally to domination of mortgage backed securities markets.
Fed Official Hints at More MBS Purchases
By: Steve Cook; Fri, Feb 5, 2010
As the Federal Reserve Bank of New York completed its latest purchases of mortgage backed securities to prop up mortgage interest rates, its president went public with hints that the Fed would consider reopening its soon-to-end program if interest rates spiked or the economy showed new weakness, The Fed is buying $1.25 trillion in mortgage-backed securities [...]
FTC Bans Up-front Fees for Mortgage Modification
By: Steve Cook; Thu, Feb 4, 2010
The Federal Trade Commission moved to protect distressed homeowners from bogus foreclosure rescue and mortgage modification services...
Obama Budget Limits Mortgage Interest Deductions…Again
By: Steve Cook; Wed, Feb 3, 2010
The fiscal year 2011 budget submitted to Congress this week by the Obama Administration caps the value of itemized deductions based on income, effectively eliminating the mortgage interest deduction for single taxpayers making more than $200,000 a year , $250,000 for joint returns.
Homebuyer Tax Credit Deadline Freezes Out Short Sales
By: Steve Cook; Wed, Feb 3, 2010
Time is running out on homebuyers interested in buying hundreds of thousands of affordable homes, as much as 20 percent of the inventory in high foreclosure markets, and still qualify for the homebuyer tax credit.
Illegal Aliens Suspected of Massive First-time Homebuyer Tax Credit Fraud
By: Steve Cook; Fri, Jan 29, 2010
In Texas, 1,000 applications for the tax credit have been filed by people employing a special taxpayer identification number that is used primarily by illegal immigrants.
State Homebuyer Tax Credits Sweeten the Pot at Tax Time
By: Steve Cook; Wed, Jan 13, 2010
First-time homebuyers in California, Texas, New York and Kentucky will have bigger smiles on their faces than those in other states when they do their taxes this year.
There’s a Land Rush on USDA Housing Loans
By: Steve Cook; Wed, Jan 6, 2010
As more and more suburban and exurban buyers figured out how to qualify and an infusion of stimulus funds made more direct and guaranteed loans available, the program doubled its volume last year, making 27,871 loans for the year.
Countdown to Change in 2010
By: Steve Cook; Mon, Dec 28, 2009
As clocks tick down on 2009, its not hard to foresee big changes in store for home buyers and home sellers in the early months of the new year.
How Your Tax Credit Can Pay Your Down Payment and Closing Costs
By: Steve Cook; Tue, Dec 22, 2009
To help buyers who want down payment and closing cost assistance, including those who qualify for the Federal homebuyer tax credit, 19 state housing finance agencies (HFAs) offer special short-term second loans.
Coldwell Banker’s Gillespie Looks Beyond the Tax Credit
By: Steve Cook; Thu, Dec 17, 2009
No doubt the tax breaks for both first-time and existing buyers will mean a lot of business for real estate brokerages, but Coldwell Banker is also focused on what happens after credits expire next spring.
Only Four Percent of Homeowners Get Obama Loan Modifications
By: Steve Cook; Fri, Dec 11, 2009
Nine months after the program launched, only four percent of homeowners participating in the government's Making Home Affordable program have successfully had their mortgages modified.
Failures Cripple Obama Loan Modification Program
By: Steve Cook; Tue, Dec 8, 2009
As many as 85 percent of delinquent mortgages are failing the Administration's loan modification process.
FHA Moves Upscale
By: Steve Cook; Mon, Dec 7, 2009
The Federal Housing Administration is transforming itself from a lender of last resort serving mid to lower income borrowers into a more expensive lender with a safer, more upscale portfolio.
Treasury Tweaks Short Sale Incentives to Cut Foreclosures
By: Steve Cook; Wed, Dec 2, 2009
This week the Treasury Department released new rules that will help homeowners who need to sell but can't get a price high enough to pay off their mortgage.
FHA and Ginnie Mae Kick Out Lend America
By: Steve Cook; Tue, Dec 1, 2009
Yesterday the Federal Housing Administration (FHA) and the Government National Mortgage Association (Ginnie Mae) today withdrew approval for Lend America to participate in the FHA single family insurance program.
Once Again, Administration Tries to Save Foreclosure Program
By: Steve Cook; Mon, Nov 30, 2009
The Treasury Department and the Department of Housing and Urban Development (HUD) today announced their third attempt to breathe life into the Obama Administration's ailing Home Affordable Modification Program (HAMP).
Judge Wipes Out Mortgage, Shocks Lending Industry
By: Steve Cook; Fri, Nov 27, 2009
Last week’s ruling by a Suffolk County, New York judge wiping out $525,000 in mortgage debt has sent shudders throughout the lending industry.
Frank Wants $2 Billion to Stop Foreclosures
By: Steve Cook; Mon, Nov 23, 2009
Chairman Barney Frank (D-MA) is pushing to use left over TARP money to help unemployed homeowners stave off foreclosure
The Last Days of the Homebuyer Tax Credit
By: Steve Cook; Wed, Nov 18, 2009
This is it. No more extensions. When April 30 comes and goes, the tax credit for everyone is over and buyers have only until June 30 to close.
FHA Should Weather Loan Losses
By: Steve Cook; Fri, Nov 13, 2009
Under most scenarios the agency should be able to continue to fulfill its mission of facilitating the market's recovery.
New Homebuyer Tax Credits Light Up the Holidays
By: Steve Cook; Fri, Nov 13, 2009
Home sales activity across the country is picking up even though we are entering a period when sales usually slow down as the holidays approach.
Short Cuts Short Out Treasury’s Loan Modification Program
By: Steve Cook; Wed, Nov 11, 2009
Short cuts, including lack of documentation by borrowers, are crippling the Obama Administration's loan modification program and threatening to significantly reduce the more than 650,ooo loans currently in the trial phase of the program.
How the New Homebuyer Tax Credit Works
By: Steve Cook; Fri, Nov 6, 2009
The extension and expansion of the homebuyers tax credit that passed Congress November 5 allows more first-time buyers to qualify and creates an entirely new credit for existing homeowners who buy a new home.
Congress Passes Homebuyer Tax Credit
By: Steve Cook; Thu, Nov 5, 2009
The House of Representatives voted overwhelmingly this afternoon to pass legislation containing an extension and expansion of the homebuyer tax credit, completing Congressional action and sending the tax credit to President Obama for his signature, possibly as early as tomorrow.
Homebuyer Tax Credit Overly Generous
By: David Lereah; Wed, Nov 4, 2009
The great debate surrounding the fate of the first-time homebuyer tax credit appears to have ended on a good note; at least for the millions of households ready to purchase a home.
Homebuyer Tax Credit Will Motivate First-time Buyers More than Move-up Buyers
By: Steve Cook; Wed, Nov 4, 2009
The first-time homebuyer tax credit would do more to defray the purchase price of a starter home than the move-up buyer credit would do for existing homeowners buying a new home.
Senate Clears Homebuyer Tax Credit Extension to Pass This Week
By: Steve Cook; Tue, Nov 3, 2009
The Senate last night cleared the way to pass a seven month extension and expansion of the tax credit for homebuyers, making it virtually certain that the legislation will reach President Obama for his signature this week.
Sales Fade As First-Time Buyers Give Up on Credit
By: Steve Cook; Mon, Nov 2, 2009
With less than thirty days to go until the first-time homebuyer tax credit expires, home sales are starting to fade as buyers give up on making the November 30 deadline.
Move-up Buyers to Get Homebuyer Tax Credit
By: Steve Cook; Thu, Oct 29, 2009
The deal struck among key senators last night to extend the homebuyer tax credit will broaden the benefit to include existing homeowners who are buying a new home as well as first-time homebuyers.
Obama’s Refinancing Program Fails to Reach Troubled Homeowners
By: David Lereah; Mon, Oct 26, 2009
According to a recent report, the refinancing part of Obama's Home Affordable program has failed miserably.
“Loan Modification Scam Alert” Targets Scam Artists
By: Steve Cook; Mon, Oct 26, 2009
The campaign, “Loan Modification Scam Alert,” was launched in Los Angeles , which consistently ranks among cities with the highest foreclosure rates and has the highest number of homes in foreclosure in the nation.
Four-Year-Olds Get Homebuyer Tax Credits
By: Steve Cook; Thu, Oct 22, 2009
Even though they were not old enough to buy a house, more than 580 children younger than 18 have claimed almost $4 million and received $627,000 in first-time homebuyer credits. Some were as young as four years old.
Fitch: Slowdown in Mortgage Modifications Won’t Last
By: Steve Cook; Tue, Oct 20, 2009
Though fewer borrowers received modifications in recent months, the delay will be short-lived and soon, according to Fitch Ratings in a new report.
White House Boosts Local Housing Programs
By: Steve Cook; Tue, Oct 20, 2009
The White House yesterday announced a new program to give lower income home buyers and renters a temporary boost in the marketplace.
Extend the Homebuyer Tax Credit
By: David Lereah; Sun, Oct 11, 2009
With the expiration date rapidly approaching, supporters of the first-time homebuyer tax credit fear that the housing recovery may stumble in the absence of this housing subsidy.
Dodd to Push for Six Month Homebuyer Credit
By: Steve Cook; Fri, Oct 9, 2009
The chairman of the Senate Banking Committee said yesterday he plans to attach an amendment that would extend the $8,000 first-time homebuyer's tax credit six months.
Hill Panel Says Foreclosure Program is Too Little, Too Late
By: Steve Cook; Fri, Oct 9, 2009
A congressional oversight committee yesterday questioned whether the limited scope and scale of the Administration's Making Home Affordable program (HAMP) will be capable of stemming the ever-increasing flood of foreclosures.
Both Mortgage Modifications and Criticisms Increase
By: Steve Cook; Thu, Oct 8, 2009
Nearly one month ahead of its self-set schedule, the government has reached the 500,000 mark for trial loan modifications under the Making Home Affordable program.
Brookings Economist Blasts First-Time Homebuyers Credit
By: Steve Cook; Mon, Sep 28, 2009
In an article and video published on the home page of the Brookings Institution, the co-director of the prestigious think tank's economic studies program says extending or expanding the first-time homebuyer tax credit will cost far more than the $15 billion of the current credit, likely in excess of an additional $30 billion.
Extending the Tax Credit Would Motivate 18 Percent of First-Time Buyers
By: Steve Cook; Thu, Sep 24, 2009
If Congress extends the $8,000 tax credit for first-time home buyers another year, about 18 percent of prospective first-time buyers, or 334,000 buyers, say taking advantage of the credit would be the primary reason they would buy a home next year, according to a new study released today by Zillow.com. About 25 percent of first-time buyers [...]
Geithner Says Financial Reform Will Reduce Costs and Risks
By: Steve Cook; Wed, Sep 23, 2009
Testifying this morning before the House Financial Services Committee, Treasury Secretary Geithner said the financial regulatory reform proposed by the Administration will include a new consumer financial protection agency that will protect consumers from unexpected risks and reduce the cost of compliance for lenders.
FHA Scrambles to Control Loan Losses
By: Steve Cook; Fri, Sep 18, 2009
The Federal Housing Administration today tightened credit restrictions to reduce the agency's exposure to risk and announced it was hiring a chief risk officer after the Washington Post reported the agency is rapidly running out of money due to loan losses and its cash reserves are in jeopardy of falling below falling below the minimum level set by Congress.
Opposition Grows to First-Time Homebuyer Credit
By: Steve Cook; Fri, Sep 18, 2009
Time is quickly running out on the first-time homebuyer tax credit, due to expire December 1 and despite an all-out lobbying campaign, the housing industry faces a battle to extend and expand it.
States and Feds Go to War Against Mortgage Fraud
By: Steve Cook; Thu, Sep 17, 2009
Top Federal regulatory and law enforcement officials joined with attorneys general from 12 states in Washington today to go to war against financial predators who are practicing mortgage fraud against consumers, including financial rescue scams and loan modification fraud.
Government Actions Saved Refinancing Homeowners $2.3 Billion
By: Steve Cook; Wed, Sep 16, 2009
Homeowners who refinanced during the first six months saved $2.3 billion this year due to recent government actions to reduce mortgage rates, according to a new study by Mark Fleming, chief economist for First American CoreLogic. The study found the median individual monthly savings was $120, a 10.5 percent reduction from the median borrower's previous mortgage payment, and the total benefit to homeowners who refinanced in 2009 will grow to $11.5 billion over the next five years.
Obama Program Slows California Foreclosures
By: Steve Cook; Tue, Sep 15, 2009
For the first time since it was launched six months ago, the Administration's Home Affordable Modification Program (HAMP) is having a measurable impact on the rate of foreclosure filings in California, according to the latest report from ForeclosureRadar, a web site that tracks foreclosures California and four other Western states.
Foreclosures Will Overwhelm Government Efforts
By: Steve Cook; Fri, Sep 11, 2009
Even if the disappointingly slow Federal foreclosure program achieves the goals for which it was designed, the foreclosure crisis could be as bad in three years as it is today. A flood of new foreclosures generated by the double whammy of unemployment and resetting exotic loans will overwhelm the government efforts and impede recovery.
The Mortgage Interest Deduction is in Play
By: Steve Cook; Fri, Sep 4, 2009
First, there were hints during the campaign. Senator Obama's stump speech called for a more equitable tax system, which begins with a tax cut for most Americans-those making $75,000 to $100,000. Then it's paid for by possible increases for those making $200,000 to $250,000 or more. And the tax increases would include "closing loopholes."
Will Greed Kill the First-Time Homebuyers’ Credit?
By: Steve Cook; Wed, Aug 26, 2009
With less than three months left before it joins Cash for Clunkers in the ash bin of stimulus programs, will Congress act quickly enough to extend the first-time homebuyer tax credit another year?
Sales Surge as the Homebuyer Tax Credit Ticks Down
By: Steve Cook; Mon, Aug 17, 2009
With fewer than three and a half months left to close on a home before the $8000 first-time homebuyer tax credit expires, field reports suggest that a surge in sales is already underway and will drive sales up over the next two months.
Lenders Flunk First Foreclosure Program Report Card
By: Steve Cook; Tue, Aug 4, 2009
"Uneven" is a popular word in Washington. It means things aren't good, but it doesn't let on just how bad they might be. Best of all, it conveys none of the emotion that normal people use in their daily speech. "The data show that servicer performance has been uneven," said the Treasury news release accompanying the first monthly report card on the Making Home Affordable loan modification program, which was released today.
Match-up of the Fixes: Cash for Clunkers vs. Homebuyers’ Tax Credit
By: Steve Cook; Tue, Aug 4, 2009
It's hard to turn on a newscast these days without hearing about the Cash for Clunkers program and what it has done for the auto industry. It's also hard to resist the urge to make comparisons between Washington's two great fixes to stimulate the economy: C4C and the first-time homebuyers' tax credit. If you're thinking that the real estate industry needs a Cash for Clunkers program, you might match up of the two fixes to see if it makes sense. New Housing Forecasts available now at: http://www.realestateeconomywatch.com/category/housing-forecasts/forecasts/
Minorities and Foreclosures
By: Steve Cook; Mon, Aug 3, 2009
Increasing minority homeownership has been a national policy of both Republican and Democratic Administrations for decades, and for good reason. Traditionally, homeownership has been the path most families have taken to establish financial security. Moreover, homeownership has long been associated with such positive factors as safer neighborhoods and better neighborhood schools.
On the Foreclosure Front, It’s Woodshedding Time
By: Steve Cook; Thu, Jul 30, 2009
Back when people had woodsheds, "woodshedding" meant one of two things. People "went to the woodshed" to practice in private such public skills as singing, playing musical instruments and acting. Woodsheds also were the places fathers took their naughty children and got out the belt or hairbrush, a practice highly discouraged today.
One-third of Mortgage Defaulters Don’t Need Help
By: Steve Cook; Wed, Jul 22, 2009
Nearly one third of all homeowners who seriously default on their mortgages end up paying what they owe and don't need to renegotiate their loans, according to a new, massive study by economists at the Federal Reserve Bank of Boston.
Foreclosures: Time for Heat or Light?
By: Steve Cook; Fri, Jul 17, 2009
As long as Americans have owned homes and records have been kept, never have more families lost more homes to foreclosure than in the first six months of this year. The raw numbers in RealtyTrac's latest report are startling.
Reality Check for the Obama Foreclosure Plan
By: Steve Cook; Fri, Jul 10, 2009
Five months and 1,1 million foreclosures after President Obama announced the Making Home Affordable programs, the Administration has yet to identify a single borrower who has closed on a modified loan under the program, though at least one servicer reports approving 87,100 mods.
Homeowner Bailout Program Expands
By: David Lereah; Wed, Jul 1, 2009
The Obama administration is expanding its Home Affordable program to permit more borrowers who hold underwater mortgages to participate in refinancings. The program could end up costing taxpayers.
Public Utilities Numbers One and Two
By: Steve Cook; Sun, Jun 21, 2009
Listening to the policy makers who will decide the fates of Fannie Mae and Freddie Mac brings home the reality of how far these once mighty pillars of residential real estate finance have fallen-and that they will never rise again to their former glory.
Skin in the Game
By: Steve Cook; Sat, Jun 20, 2009
Skin in the game means having a stake or a vested interest. Two of the most powerful members of the House on housing policy told a group of real estate journalists Friday that originators having skin in the game is the single most important feature affecting housing finance in the regulatory reform legislation now before the House Financial Services Committee.
HUD Secretary Shoots for Millions of Loan Mods
By: Steve Cook; Thu, Jun 18, 2009
The Administration's loan modification program is aiming for millions of mods over its three year lifespan, HUD Secretary Shawn Donovan told a conference of real estate journalists today and there are 200,000 trial modifications in process right now, 40,000 were added in the last week alone .
California Credit Moves the Needle
By: Steve Cook; Mon, Jun 15, 2009
As the housing lobby revs up for another push to expand the first time homebuyer tax credit (See ), it can point to the runaway success of California's $10,000 credit for newly built homes.
Take Another Look at May Foreclosures
By: Steve Cook; Fri, Jun 12, 2009
The May foreclosure numbers from Realty Trac show a six percent decrease in Foreclosure filings—default notices, scheduled auctions and bank repossessions—over April and several media outlets decided the report was good news.
CEOs Launch New Drive for Expanded Homebuyer Tax Credit
By: Steve Cook; Wed, Jun 10, 2009
Just six months after Congress came within a whisker of getting a $15,000 tax credit for first-time home buyers, a group of chief executive officers in the real estate, building products and home goods industries are mounting a new effort to expand the credit from its current $8,000 maximum and make it available to all buyers, not just first-timers.
HUD Tweaks First-Timer Credit
By: Steve Cook; Mon, Jun 1, 2009
HUD announced last week it has found a creative way to made the $8,000 federal tax credit for first-time home buyers even more useful than it was when passed by Congress last February.
Jumbos Go to Washington
By: Steve Cook; Tue, May 19, 2009
Just when it looked as though the jumbo business was coming back to life, Realtors and are mounting a lobbying campaign to get Congress to lower their cost by making permanent the current rules for determining limits that apply in 2009, use the Term Asset-Backed Securities Loan Facility (TALF) to buy jumbo loans,.
Major Lenders Implement “Making Home Affordable”
By: Steve Cook; Fri, May 15, 2009
Making Home Affordable, the Administration's program to reduce foreclosures through refinancing, modification of loans held by borrowers in trouble, and lowered interest rates, is finally moving ahead with critical loan modifications after hitting a snag over how to handle secondary liens.
Freddie Gears Up
During the first quarter, Freddie Mac helped about 40,000 borrowers avoid foreclosure by modifying or refinancing their mortgages so that they can either stay in their homes or sell them.
First-timer Tax Credit is Working
By: Steve Cook; Tue, May 5, 2009
Looks like last year's first-time homebuyer tax credit-the one the housing industry pooh-poohed because it required buyers to pay it back over 15 years-is doing a lot better than most people expected.
Cram Downs Fade Away
Four months ago they were just about the only part of the new Administration's foreclosure policy that seemed to be going anywhere.
Second Lien Compromise Puts Obama Plan Back on Track
Second lien servicers and investors are the big winners in changes to the Administration's loan modification program announced April 28.
HOPE for Homeowners
By: Steve Cook; Sat, Apr 11, 2009
The HOPE for Homeowners program helps those at risk of default and foreclosure refinance into more affordable, sustainable FHA loans. H4H is an additional mortgage option designed to keep borrowers in their homes.
FHASecure
By: Steve Cook; Sat, Apr 11, 2009
Purpose: To help an estimated 240,000 borrowers who were steered into high-cost adjustable rate mortgage (ARM) loans with teaser rates refinance into a safe, affordable FHA mortgage product that will help build wealth.
Making Home Affordable
By: Hristina Toshkova; Sat, Apr 11, 2009
Making Home Affordable is a plan to stabilize the housing market and help up to 7 to 9 million Americans reduce their monthly mortgage payments to more affordable levels.
States Woo Buyers with Tax Credits.
By: Steve Cook; Tue, Mar 17, 2009
California new home buyers now have an $18,000 reason to get off the fence. That’s how big a tax credit they will receive from both the Federal ($8,000) and a new state tax credit ($10,000) when they buy a newly built home in the Golden State after March 1.
Cram Downs Cool Down
By: Steve Cook; Tue, Mar 17, 2009
An intense lobbying campaign by the financial services industry has slowed and possibly killed legislation that would give bankruptcy courts the power to write down mortgages
New Foreclosure Program At a Glance
By: Steve Cook; Tue, Feb 24, 2009
A new refinancing program will help four to five million homeowners with less than 80 percent equity and who hold conforming loans owned or guaranteed by Fannie of Freddie allows them to refinance at current rates.
Get this widget See local rates - Senate Clears Homebuyer Tax Credit Extension to Pass This Week
- CEOs Launch New Drive for Expanded Homebuyer Tax Credit
- Homebuyer Tax Credit Will Motivate First-time Buyers More than Move-up Buyers
- Congress Passes Homebuyer Tax Credit
By: Steve Cook; Sat, Mar 13, 2010
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