Tuesday, April 30, 2013

MBS RECAP: More Intraday Volatility But Little-Changed at The Close

Hot news from AZ Home Help:

Posted To: MBS Commentary

MBS Live : MBS Afternoon Market Summary MBS walked in the door in positive territory this morning and are currently heading out the door in roughly the same shape. That nearness to opening levels belies the intraday volatility however. This began with a rally to the best levels of the year for both MBS and Treasuries. Lackluster Chicago PMI helped everything move together in a risk-off direction after the cash open in Stocks (risk-off implies bond rally and stock selling). Some of the levity in Treasuries was attributed to short positions (those betting on higher rates) getting stopped out (being forced to buy, covering their short to protect against further losses). Whether or not that was a warning that 1.638% in 10yr yields was tenuous and temporary will never be known as Apple's corporate...(read more)

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Source: http://www.mortgagenewsdaily.com/mortgage_rates/blog/306632.aspx

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LPS Home Price Index Rises; 9 of The Top 10 Metro Areas in CA

Hot news from AZ Home Help:

Posted To: MND NewsWire

Lender Processing Services, Inc. (LPS) said Monday that its Home Price Index (HPI) for February was up 1.0 percent to $210 from the end-of-January Index of $208. The February 2013 index is 7.03 percent higher than the $196 HPI at the end of February 2012 but remains well below the peak HPI of $265 in June 2016. The LPS HPI is based on a repeat sales analysis of home prices as of their transaction dates for each of more than 15,500 ZIP codes. It represents the price of non-distressed sales by taking into account price discounts for sales of foreclosed homes and short sales. States with the largest month over month increases in HPI were California and Washington State which were both up 2.2 percent, Nevada with a 1.8 percent increase and Hawaii and Illinois up 1.6 percent and 1.4 percent respectively...(read more)

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Source: http://www.mortgagenewsdaily.com/04292013_lps_hpi.asp

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Monday, April 29, 2013

Mortgage Rates Modestly Improve on 2013 Lows

Hot news from AZ Home Help:

Posted To: Mortgage Rate Watch

Mortgage rates continued lower today, after officially hitting the lowest levels of the year on Friday. Bond markets including MBS (the "mortgage-backed-securities" that most directly affect mortgage rates) generally held steady despite advancing stock prices. More specifically, MBS actually did a better job holding their ground than 10yr US Treasuries, which tend to move in the same direction. Whereas Treasuries are just slightly weaker than Friday's latest levels, MBS are slightly stronger. This allowed lenders to adjust rate sheets further into the year's best territory with 3.375% now becoming a contender for the Conventional, 30yr Fixed best execution rate, which has been at 3.5% after topping out at 3.625% - 3.75% earlier this year. As we noted last week, the last few days of any given...(read more)

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Source: http://www.mortgagenewsdaily.com/consumer_rates/306412.aspx

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Sunday, April 28, 2013

Mortgage Rates Almost Perfectly Flat For Eight Consecutive Days

Hot news from AZ Home Help:

Posted To: Mortgage Rate Watch

Mortgage rates were microscopically higher today, doing very little to change the pervasive theme of narrow, sideways movement this week. In fact, today's rates are almost perfectly comparable to those seen on 4/15 and have moved less during those 8 business days than any 8-day stretch we have on record. Best execution for Conventional, 30yr Fixed loans remains at 3.5% with the most aggressive lenders close to 3.375%. Lower rates are available at most lenders for an additional cost and may be viable depending on your scenario. Not only have mortgage rates been sideways and stable, but related Treasury yields have held similarly narrow ranges with 10yr notes holding mostly between 1.69 and 1.72 during the same time. Such periods of consolidation are typically followed by a more concerted move...(read more)

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Source: http://www.mortgagenewsdaily.com/consumer_rates/306034.aspx

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Battle Over Mortgage Interest Deduction Continues in House Committee

Hot news from AZ Home Help:

Posted To: MND NewsWire

The House Ways and Means Committee heard a wide variety of opinions today at a hearing on housing tax incentives . Representatives of the housing, building and real estate industries as well as policy experts spoke both in favor and against the mortgage interest deduction (MID) tax deductions for property taxes, the real estate capital gains exemption and the low income tax credit. Robert Dietz, assistant vice president of the National Association of Home Builders (NAHB), called on Congress to maintain its support for vital housing tax incentives. "Home building is an industry dominated by small businesses, so the idea of simplifying the complicated tax rules related to business has great appeal. At the same time, our industry remembers painful lessons from the 1986 Tax Reform Act, when the...(read more)

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Source: http://www.mortgagenewsdaily.com/04252013_housing_tax_provisions.asp

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Saturday, April 27, 2013

Pricing on Redwood's Latest Deal; a Gaggle of Vendor, Investor, Agency, and Seminar Updates

Hot news from AZ Home Help:

Posted To: Pipeline Press

Flipping over to the non-agency sector, uh oh: is the demand for "private label," nongovernment-backed residential mortgage securities dropping, or is the supply increasing? Bloomberg reports that, "Yields on $397.3 million of top-rated securities sold yesterday by Redwood Trust Inc. were 175 basis points more than benchmark swap rates, up from 170 basis points on bonds it sold earlier this month and 97 basis points, or 0.97 percentage point in January. Sales this year of home-loan bonds without government backing have already surpassed the highest annual total since the debt sparked the global financial crisis." Here is the story. What does this Redwood Trust price action mean for the average guy on the street? In simple terms, investor demand helps drive rates, as does the supply: if no investor...(read more)

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Source: http://www.mortgagenewsdaily.com/channels/pipelinepress/04262013-mortgage-training-redwood.aspx

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Friday, April 26, 2013

Mortgage Rates Officially Hit New 2013 Lows

Hot news from AZ Home Help:

Posted To: Mortgage Rate Watch

Mortgage rates finally made a break from their recent flat and sideways pattern, moving officially to the best levels of 2013 by a small margin (this may vary slightly depending on the lender). The day-over-day improvement isn't out of line with average fluctuations in rates, but against the backdrop of the past two weeks, it stands out. Most lenders have been competitively priced between 3.25-3.5% on 30yr Fixed, Conventional loans. While the best execution rate has been 3.5% with 3.375% looming, today's improvements probably tip the scales in favor of 3.375% for some scenarios. Lower rates are available at most lenders and the costs associated with moving lower from 3.375% may make sense for some borrowers. Since hitting their highest levels in more than 10 months last month, rates have improved...(read more)

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Source: http://www.mortgagenewsdaily.com/consumer_rates/306213.aspx

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Horton Reports Banner Earnings Citing Robust Demand and Favorable Pricing

Hot news from AZ Home Help:

Posted To: MND NewsWire

Fort Worth based homebuilder D. R. Horton reported financial results for its second quarter that dwarfed results from a year earlier. The company's net income for the quarter ended March 31 increased 173 percent to 111.0 million or $0.32 per diluted share compared to net income for the second quarter of 2012 of $40.6 million or $0.13 per share. Pretax income increased 236 percent to $142.1 million and its pre-tax income margin was up 550 basis points to 9.9 percent of revenues. Net sales orders rose 34 percent to 7,879 homes from 5,899 homes and closed transactions grew by 33 percent to 5,643 homes with a value of $1.4 billion, up 47 percent. The backlog in sales increased 54 percent in numbers of homes, 9,553 compared to 6,189 a year earlier, and 76 percent in the value of those homes, $2...(read more)

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Source: http://www.mortgagenewsdaily.com/04262013_home_building_home_sales.asp

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Thursday, April 25, 2013

MBS RECAP: Slightly Positive Tilt, But No Lift-Off

Hot news from AZ Home Help:

Posted To: MBS Commentary

MBS Live : MBS Afternoon Market Summary It's almost as if bond markets have been in a slow motion countdown to next week's events since April 15th. We've seen essentially no movement during that time and reasonably fierce defense of very narrow range boundaries. Specifically, the majority of instances where bond trading actually seems to have some conviction are those where trading levels have been trying to stay inside the narrow range. On day's like today where Jobless Claims are stronger than expected and stocks are rallying, that's been a fine thing for the mortgage world. The spread between MBS and Treasuries has also performed well this week, resulting in gains for MBS while Treasuries are slightly weaker. Strength aside, MBS made no attempt to challenge yesterday's highs, instead spending...(read more)

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Source: http://www.mortgagenewsdaily.com/mortgage_rates/blog/306035.aspx

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MBS MID-DAY: Jobless Claims Fail To Challenge Narrow Range

Hot news from AZ Home Help:

Posted To: MBS Commentary

MBS Live : MBS Morning Market Summary Yesterday's highest 10yr yield was 1.727 seen just after 6am New York time. Today's high yield? 1.727, seen both at 8:37am following Jobless Claims and again just now in the 11am hour. It COULD break, but hasn't yet. MBS are even more contained, trading well inside yesterday's range and only 1 tick lower at the moment. All this despite stronger-than-expected data, one more Treasury Auction to take down this afternoon, and a stock market rally. The conclusion is that there's just as much will to keep a lid on rates as there is to reinforce a recent floor (connoted by 1.68 in 10yr yields, give or take, and a ceiling around 104-11 in Fannie 3.0 MBS). With each passing day this week, we continue to be impressed--surprised even--by how narrowly contained the...(read more)

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Source: http://www.mortgagenewsdaily.com/mortgage_rates/blog/305953.aspx

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Wednesday, April 24, 2013

Mortgage Rates Continue Hovering Around Recent Lows, Slightly Higher Today

Hot news from AZ Home Help:

Posted To: Mortgage Rate Watch

Mortgage rates continued their recent pattern of limited movement, rising almost imperceptibly today. This keeps them in line with recent lows, which they've held uneventfully since the beginning of last week. Although today isn't quite the best of the bunch, the recent range is the the lowest stretch of several comparable days since early January. Best execution for Conventional, 30yr Fixed loans remains near the more aggressive side of 3.5%, meaning that the borrowing costs associated with 3.5% are about as low as they go before 3.375% begins taking over as a more cost effective option. With rates at current levels, anyone who "missed the boat" so to speak, heading into the end of 2012 into early 2013 is now more than half-way back to 2012's all-time lows, or very close to it. There are two...(read more)

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Source: http://www.mortgagenewsdaily.com/consumer_rates/305811.aspx

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Trends in Cash Out/Post-Purchase Financing; Affiliated Relationships

Hot news from AZ Home Help:

Posted To: Pipeline Press

In spite of all the increased regulations and underwriting criteria that require borrowers to actually qualify, mortgage applications are hanging in there quite nicely. Today the MBA reported that last week's applications were +.2% with purchases and refis both up 0.3%. Conventional refis were off 1% but GNMA refis were up 8.2% - the highest level in 5 weeks. Purchase applications are up 18% from a year ago! Yesterday's commentary on home ownership trends attracted a note from Andrew Jakabovics from Enterprise Community Partners . "A quick comment on your history of free and clear ownership - It's not a surprise that as the homeownership rate rises, the share of owners free and clear will go down, since the new buyers are likely taking out mortgages to buy and will remain indebted for some...(read more)

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Source: http://www.mortgagenewsdaily.com/channels/pipelinepress/04242013-monarch-mortgage-imortgage.aspx

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Tuesday, April 23, 2013

Mortgage Rates Improve Only Slightly, But Near 2013 Lows

Hot news from AZ Home Help:

Posted To: Mortgage Rate Watch

Mortgage rates barely moved today, but the modest improvements were enough to bring them as close as they've been to 2013 lows in more than three months. Bond markets including MBS (the mortgage-backed-securities that most directly affect mortgage rates) were impressively unchanged for most of the day despite a healthy stock market rally. All things being equal, strong days in stocks tend to coincide with rising rates. Most lenders lowered costs marginally for the prevailing 3.5% best execution rate for Conventional, 30yr Fixed loans. Economic data was of little concern to bond markets today--something that certainly will not be the case next week when we'll get the Employment Situation Report as well as a policy announcement from the Fed. Even as early as tomorrow, there's more of an opportunity...(read more)

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Source: http://www.mortgagenewsdaily.com/consumer_rates/305601.aspx

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Distressed Loans Fall Below 5 Million For First Time In 5 Years

Hot news from AZ Home Help:

Posted To: MND NewsWire

All of the housing metrics released today by Lender Processing Services (LPS) showed movement in a positive direction . LPS generally provides a "first look" at some of the data which will be covered in its monthly Mortgage Monitor when released early the following month. The national delinquency rate dropped 3.13 percent from February to 6.59 percent and was down 3.03 percent from March 2012. The delinquency rate translates to 3.308 million loans that are 30 or more days past due and 1.466 million loans that at 90 or more days delinquent. It does not reflect loans that are in the process of foreclosure. The inventory of mortgages in some stage of the foreclosure process stood at 1.689 million in March, down 0.41 percent on a monthly basis and 19.6 percent on an annual basis. The foreclosure...(read more)

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Source: http://www.mortgagenewsdaily.com/04232013_lps_mortgage_monitor.asp

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Monday, April 22, 2013

Housing Recovery Signals Are Real This Time, Says S&P

Hot news from AZ Home Help:

Posted To: MND NewsWire

After what it called years of tenuous signals indicating that the housing recovery was underway Standard & Poor's (S&P) Ratings Service say this time it is different . S&P's Ratings Direct summarized proceedings of Housing and Commercial Real Estate Roundtable it sponsored on April 9 where a number of staff from various S&P divisions discussed the housing recovery.. Why is this time different? Roundtable participants said the most critical factor is the 6.8 national increase in home prices in 2012. S&P projects that prices will increase another 8 percent this year. "Rising prices are a good cure for a lot of headaches," Erkan Erturk, a senior director in S&P's Structured Finance Research Group said. "Prices also provide a good summary of the broader housing market. Erturk...(read more)

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Source: http://www.mortgagenewsdaily.com/04222013_housing_recovery.asp

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CA's Bill of Rights; The Confusing World of FHA & Section 35 loans, QM, HOEPA Violations, APOR, and Freddie's Rate Survey

Hot news from AZ Home Help:

Posted To: Pipeline Press

Wells Fargo has decided that it time to embark on a $100 million expansion in Iowa : This is in spite of the industry concerned about less volume and lower margins, and Wells' market share sliding. Meanwhile in California.....according to Barclays, " recent loan-level data suggest that foreclosure-to-REO roll rates and short sales have dropped sharply since the start of the year. " They attribute much of the decline to the implementation of the California Homeowner Bill of Rights , which was signed into law in mid-2012 but became effective only on January 1, 2013. The new legislation adds responsibilities and restrictions to the foreclosure process in California, including prohibitions against dual-track foreclosures, required notice periods, civil penalties against robo-signing, and requirements...(read more)

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Source: http://www.mortgagenewsdaily.com/channels/pipelinepress/04222013-hoepa-apor-qm-pmms.aspx

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Saturday, April 20, 2013

California Prices Soar 8.3% in One Month

Hot news from AZ Home Help:

Posted To: MND NewsWire

The median price of a home in California shot up in March to $313,000 from 289,000 in February, a one-month increase of 8.3 percent . The spike put the median price 24.7 percent above the price in March 2012, the 13 th consecutive annual price increase. California prices peaked at a median of $484,000 in the late spring/early summer of 2007 and hit a low of $221,000 in April 2009. Sales of new and existing single-family houses and condos increased 31.5 percent from February; 37,764 transactions as compared to 28,719. DataQuick, which supplied today's data, said it is normal for sales to shoot up between February and March and it appears the March 2013 figures are not extraordinary. March sales in California have ranged from a low of 24, 565 in 2008 to 68,848 in 2005 and have averaged 43,648...(read more)

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Source: http://www.mortgagenewsdaily.com/04192013_california_home_sales.asp

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Friday, April 19, 2013

Mortgage Rates End Week At Best Levels

Hot news from AZ Home Help:

Posted To: Mortgage Rate Watch

Mortgage rates were very slightly lower today, but the improvement was just enough to leave most lenders at their best rates of the week. We have yet to see a move below the prevailing b est execution ( what is this? ) rate of 3.5% for 30yr Fixed loans. This means today's improvement was limited to the closing cost side of the equation, and it's technically "the costs associated with a 3.5% loan" that are at their lowest levels of the week. That said, some lenders are closer than others to being more efficiently priced at 3.375%. Virtually any lender than offers 3.5% will also have lower rates available, and paying the extra upfront costs to move down to 3.375% or 3.25% may make sense for some scenarios. Markets were calm today, with no major events or data on the calendar. The Mortgage-Backed...(read more)

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Source: http://www.mortgagenewsdaily.com/consumer_rates/305217.aspx

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More Details On New Mortgage Market Infrastructure, More G-Fees Too

Hot news from AZ Home Help:

Posted To: MND NewsWire

Edward J. DeMarco, Acting Director of the Federal Housing Finance Agency (FHFA) appeared before the Senate Banking Committee today. According to his prepared remarks DeMarco will tell the senators about the progress his agency has made in its dual role as conservator of the two government sponsored enterprises (GSEs) Freddie Mac and Fannie Mae and as regulator of the Federal Home Loan Banks (FHLBanks.) DeMarco briefly recapped the goals set for FHFA as conservator and what has been accomplished to date. The operations of the GSEs have largely stabilized while both mortgage originations and securitizations continued to function throughout the financial crisis. The focus on foreclosure prevention efforts has been critical to helping homeowners in distress and essential to meeting the conservatorship...(read more)

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Source: http://www.mortgagenewsdaily.com/04182013_fhfa_ed_demarco.asp

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Thursday, April 18, 2013

Mortgage Rates Vary By Lender, But Unchanged On Average

Hot news from AZ Home Help:

Posted To: Mortgage Rate Watch

Mortgage rates were unchanged today, with some lenders raising costs just slightly while others were markedly improved. Taken together, there was no change in the average borrowing cost associated with the current 3.5% b est execution ( what is this? ) for 30yr Fixed loans. The discrepancies between lenders and the nearness to unchanged levels are products of a market that was both positive and negative for interest rates and MBS, the mortgage-backed-securities that most directly influence mortgage rates. Bond markets were weaker earlier in the day but made up ground just in time for most lenders to base their rate sheets on the stronger MBS levels. When there is a lot of movement in MBS between 9-1030am, it can create these moderate discrepancies between lenders. Another aspect of the positive...(read more)

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Source: http://www.mortgagenewsdaily.com/consumer_rates/305049.aspx

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Commercial/Multi-family Loan Volume Increased One-third in 2012

Hot news from AZ Home Help:

Posted To: MND NewsWire

Real estate loans for multi-family properties led all commercial and multi-family loan originations in 2012 according to the Mortgage Bankers Association (MBA). Commercial and multi-family loan originations totaled $244.2 billion for the year of which $103.2 billion was for multi-family properties. The year's total of all loans was an increase of 33 percent from 2011. Multi-family loan originations were followed in dollar volume by originations for retail properties, office buildings, and then industrial properties. Hotel/motel and health care had the lowest level of originations. Among investor types, loans originated for Fannie Mae, Freddie Mac, and FHA collectively totaled $77.6 billion and were the most active investor group. Commercial banks and savings institutions were second with $59...(read more)

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Source: http://www.mortgagenewsdaily.com/04172013_commercial_multifamily_loans.asp

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Wednesday, April 17, 2013

Mortgage Rates Show Resolve To Remain In Recently Lower Range

Hot news from AZ Home Help:

Posted To: Mortgage Rate Watch

Mortgage rates edged modestly lower today, signifying some level of resolve to remain at the more aggressive levels of the recently lower range in April. There were no significant scheduled economic reports today--a fact that can make for increased volatility, as it did today. Most of the volatility was mortgage-rate-friendly as the mortgage-backed-securities (MBS) that most directly affect rates swung into their best territory of the week by 1pm. B est execution ( what is this? ) for 30yr Fixed loans remains at 3.5%, with borrowing costs slightly lower than yesterday's in most cases. Today is a curveball for the broader outlook. After several solid days of improvement beginning last Friday, yesterday's weakness caused us to question whether or not the trend of improvement was reversing or...(read more)

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Source: http://www.mortgagenewsdaily.com/consumer_rates/304857.aspx

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Residential Loan Charge-offs Down 23 Percent from Q4, at Five Year Low

Hot news from AZ Home Help:

Posted To: MND NewsWire

The Equifax March National Consumer Credit Trends Report presents more evidence that the home finance related credit picture is improving rapidly. The report shows that the level of home finance balances written off in the first quarter was down nearly 23 percent from that written off in the fourth quarter of 2012. Lenders wrote off $43.1 billion in so called severe derogatories in the first quarter, a five year low . These include loans for which foreclosures have been completed, loans where the borrowers had entered bankruptcy, and loans that were otherwise charged off. In the previous quarter write-offs totaled $55.4 billion. First mortgage balances were charged off in the first quarter at a rate that was down 17.6 percent from the previous quarter while outstanding severely delinquent loans...(read more)

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Source: http://www.mortgagenewsdaily.com/04162013_delinquencies_defaults.asp

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Tuesday, April 16, 2013

Quantifying The Surge In Post-Recession Rental Home Market

Hot news from AZ Home Help:

Posted To: MND NewsWire

The U.S. Census Bureau released two housing market briefs on Tuesday, both the results of data collected from the American Community Survey. Rental Housing Market Condition Measures: A Comparison of US Metropolitan Areas, examines four characteristics of the rental housing stock using data collected by the survey in 2009 and 2011. Physical Characteristics of Housing looks at basic physical and structural characteristics of the total housing inventory on the national and metropolitan area levels using data from the same period. The four characteristics examined in the rental housing brief are gross rent, gross rent as a percentage of household income, rental vacancy rates, and renter share of total households. The survey found that the national vacancy rate declined from 8.4 percent in 2009...(read more)

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Source: http://www.mortgagenewsdaily.com/04162013_housing_characteristics.asp

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Monday, April 15, 2013

What Wells and Chase Results Indicate to Mortgage Bankers; Fined for Renegotiating a Rate Lock?

Hot news from AZ Home Help:

Posted To: Pipeline Press

"Daddy, how many people live in the world?" "I don't know - go ask your Mother. Why do you ask me questions like that, for Chrissakes - you're 28 years old?!" Well, now you can refer the "little" nipper to this Census site that constantly updated population figures . A small percentage of the nation's population works in helping others obtain financing, and work for companies that are expanding. I have been asked to help a well-capitalized, mid-size mortgage company with extensive industry experience is aggressively seeking a Corporate Controller in its Originations and Capital Markets Division. Ideally it will be a senior leader with 10-15 years of experience in finance & accounting, responsible for providing a wide variety of transaction and accounting expertise to support the company...(read more)

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Source: http://www.mortgagenewsdaily.com/channels/pipelinepress/04152013-rate-locks-u-s-population.aspx

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