Daily market update: May 24, 2016

Mortgage rates plus all the latest real estate market news …

What does inflation have to do with the rising cost of housing?

The Fed is poised to raise the overnight cost of money (the “Fed funds rate”) a series of times because the rate of core inflation is approaching the Fed’s 2 percent target. What does this mean for your buyers and sellers …

17 things for the wanna-be real estate investor to consider

Investing in real estate properties can provide excellent returns as well as stable earnings for those who prefer that. But, it’s important to remember that successful investing is much easier said than done. Here are some things that you should consid…

CFPB v. PHH, explained

The legal battle between the Consumer Financial Protection Bureau (CFPB) and New Jersey-based mortgage lender PHH Corp., is one of the most-watched cases in the mortgage and real estate industries, and for good reason: It involves a huge enforcement pe…

Could negative mortgage rates really happen?

Don’t get your hopes up. But, you’ve got clients asking, and the national news media is hopelessly lost on the subject, including the financial press. First things first. Negative rates could happen only to adjustable-rate loans. Fixed-rate loans are…fixed rate …

Failing to pay HOA fees can now harm your credit score

When you look outside and see maintenance diligently shoveling when it’s below zero or expertly manicuring the lawn that you barely have time to mow, you might thank your lucky stars for that homeowners’ association. But it doesn’t take long for the bl…

Rates (mortgage and otherwise) dropping; here’s what’s going on

Long-term rates have continued in a narrow band, but in very odd behavior have trended ever-so-slightly down. The 10-year T-note today trades at 1.70 percent, the lowest since the April 7 top at 1.93 percent, and lowest-fee mortgages are sliding under …

What’s the deal with private lenders, anyway?

Lenders are often asked, “Aren’t there any private lenders?” (Realtors and borrowers often ask us shortly after we have told the applicant, “Fannie says no.”) Today the primary sources of mortgage credit are government agencies, all with relatively rigid standards. Jumbo lending is similar, a narrow and shallow side-pocket. “Yes, but I have a friend who heard about a client who got a private loan. Do you have any of those?” …

East coast and Midwest overvalue homes, West undervalues, says Quicken Loans

According to Quicken Loans’ Home Price Perception Index (HPPI), national home appraisals are 2 percent lower than homeowners’ expected value. This unprecedented report shows how homeowners are viewing the housing market verses the reality of the housin…

Led by low refi occurrences, U.S. loan originations are dropping

RealtyTrac recently released its U.S. Residential Property Loan Origination Report, revealing 1.4 million residential loans originated in the first quarter of 2016 — down 12 percent from the prior quarter and 8 percent from one year ago. These figures are …