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Trends

First Mortgage Default Rate Rises Slightly in August

Home For Sale/Credit: Jupiterimages

Data through August 2014, released by S&P Dow Jones Indices and Experian for the S&P/Experian Consumer Credit Default Indices showed a slight increase in default rates. The national composite posted 1.03 percent in August, up two basis points from last month’s historical low. After nine consecutive months of decline, the first mortgage default rate rose to 0.91 percent. The auto loan default rate also rose; it was posted at one percent in August. The bank card rate declined 13 basis points to 2.73 percent.Click to continue

Foreclosure Sales Rise in July

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HOPE NOW has released its July 2014 loan modification data. An estimated 35,000 homeowners received permanent, affordable loan modifications from mortgage servicers during the month. This total includes modifications completed under both proprietary programs and the government’s Home Affordable Modification Program (HAMP). Since 2007, approximately 7.13 million total homeowners have received loan modifications. This includes approximately 5.7 million proprietary loan modifications and 1,397,498 completed via HAMP.Click to continue

A Tough Road for the Independents

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During the past four quarters, independent mortgage banks and the mortgage subsidiaries of chartered banks registered rather disturbing data in regard to their average profit per loan and origination expenses.Click to continue

Report Finds Oceanfront and Lakefront Home Values Near Double Median Prices

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Nationwide, the typical oceanfront or lakefront, single-family home is worth more than double the median value of all homes, and in some communities the median waterfront house could be worth ten or more times the median value of non-waterfront houses, according to a new analysis by Zillow. In the U.S. at the time of this analysis, the median single-family home was worth about $171,600, while the median waterfront house was valued at $370,900, a waterfront premium of 116.1 percent.Click to continue

Downpayments on the Rise in Q2

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According to a report released by LendingTree, down payment percentages for conventional 30-year fixed rate purchase mortgages increased in the second quarter to an average of 17.28 percent, up from 15.78 percent in Q1 2014. Additionally, the average down payment amount also increased, from $34,733 in Q1 2014to $37,576 in Q2.Click to continue

Year-Over-Year Foreclosures Down Nine Percent in August

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RealtyTrac has released its U.S. Foreclosure Market Report for August 2014, which shows foreclosure filings — default notices, scheduled auctions and bank repossessions — were reported on 116,913 U.S. properties in August, an increase of seven percent from the previous month, but still down nine percent from a year ago. The report also shows one in every 1,126 U.S. housing units with a foreclosure filing during the month.Click to continue

Apps for New Home Purchases Down Nine Percent in August

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The Mortgage Bankers Association (MBA) Builder Application Survey (BAS) data for August 2014 shows mortgage applications for new home purchases decreased by nine percent relative to the previous month. This change does not include any adjustment for typical seasonal patterns. By product type, conventional loans composed 68.9 percent of loan applications, FHA loans composed 15.7 percent, RHS/USDA loans composed 1.0 percent and VA loans composed 14.3 percent.Click to continue

Can the Wealth Building Home Loan Re-Animate the Mortgage Market?

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There is no nice way around it: The latest mortgage application data is atrocious. However, the introduction of a new product potentially holds the promise of revitalizing a purchase market that seems to be weakening by the day.Click to continue

Fixed-Rates on Upward Trend Over Last Week

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Rates on the most popular types of mortgages moved slighty higher according to HSH.com's Weekly Mortgage Rates Radar. The average rate for conforming 30-year fixed-rate mortgages (FRMs) rose by four basis points (0.04 percent) to 4.19 percent, returning to levels seen two weeks ago. Conforming 5/1 Hybrid ARM rates increased by three basis points, closing the Wednesday-to-Tuesday wraparound weekly survey at an average of 3.17 percent.Click to continue