Home Buyers and Sellers Be Aware! RESPA/TILA Forms To Be Merged August 1, 2015!

Home Buyers and Sellers will need to be aware there will be some major changes to the closing process, which will make it almost impossible to "rush" to the closing table to beat a deadline.  More layers, with required waiting times, plus, what used to be handled by title companies, is now being orchestrated by the lenders.  There will be a THREE DAY waiting period AFTER the numbers are generated BEFORE a closing may occur!  If there are changes, then ANOTHER THREE DAYS will be required, causing delays in closing.  We have a significant amount of delayed closings now.  This should almost make it impossible to close on time.  Rather than making 30-45 days standard on contracts, it will become necessary to put upwards of 60 days for conventional and possibly up to 90 days on VA and FHA products.  The link below will take you to a video that reaffirms the confusion that is undoubtedly coming, as the standard HUD-1 Settlement Statement, with numbered lines, is replaced by this new.... merged... un-numbered.... form!  

GOOD LUCK TO US ALL!!

RESPA/TILA Forms Merger To Add Home Purchase Problems!

Wow! Interest Rates Below 4%!

Just when you think rates cannot get any better, here you go folks! Rates have fallen below 4%. If you are able, now is a perfect time to refinance or search for that next great home! Click on the title for the complete article.

Mortgage Rates Inch Lower

For the second week in a row, rates decreased slightly..... but how long will this last? Historically low interest rates make today a perfect day to purchase that home! Click on the title for the complete story!

Interest Rates for Week ending April 23, 2009

Freddie Mac (NYSE:FRE) today released the results of its Primary Mortgage Market Survey (PMMS) in which the 30-year fixed-rate mortgage (FRM) averaged 4.80 percent with an average 0.7 point for the week ending April 23, 2009, down from last week when it averaged 4.82 percent. Last year at this time, the 30-year FRM averaged 6.03 percent.

More Good Housing News!

Second straight monthly gain in pending home sales -- up nearly 11 percent in the Northeast, 15 percent in the Midwest, and 4.4 percent in the Southern states. Only the Western region saw a decline at 13.5 percent.

The ability of consumers to buy a house, as measured by the National Association of Realtors' Affordability Index, hit a record new high last month thanks to declining home prices and record-low mortgage rates.

Mortgage rates continued to drop last week -- even from the record lows the week before, according to the Mortgage Bankers Association. Thirty year rates now average just 4.6 percent and 15-year fixed loans average 4.45 percent with about a point.

Consumer spending registered a small increase, up by seven tenths of a percent in the last month. Personal income was up slightly as well.

Both the major indexes that measure consumer confidence, which is a key driver of home buying, were up slightly in the last month. The University of Michigan's survey and the Conference Board's index both registered small gains.

Mortgage Rates!

On the heels of the Federal Reserve's new effort to aid the housing market, rates on 30-year fixed-rate mortgages dropped this week to 4.98 percent, just shy of the record low of 4.96 percent reported in mid-January, according to Freddie Mac's weekly nationwide survey.

New Home Construction Logs Unexpected Gain!

Washington(AP) – March 17, 2009 – The number of new housing projects that builders broke ground on in February rose sharply, defying economists' forecasts for yet another drop in activity.The Commerce Department reported Tuesday that construction of new homes and apartments jumped 22.2 percent from January to a seasonally adjusted annual rate of 583,000 units. Economists were expecting construction to drop to a pace of around 450,000 units.Construction activity fell to a pace of 477,000 units in January, according to revised figures. That was a little higher than first reported but still marked a record low.Applications for building permits, considered a reliable sign of future activity, also rose in February by 3 percent to an annual rate of 547,000. Economists were expecting permits to fall to a pace of 500,000 units.Even with February's rare burst of activity, housing construction is down a whopping 47.3 percent from a year ago.

Florida’s existing home, condo sales rise in 4Q 2008

ORLANDO, Fla. – Feb. 12, 2009 –
Sales of existing single-family homes in Florida rose 13 percent in fourth quarter 2008 compared to the same period a year earlier, according to the latest housing statistics from the Florida Association of Realtors® (FAR). A total of 30,163 existing homes sold statewide in 4Q 2008; during the same period the year before, a total of 26,635 existing homes sold statewide. It marks the second consecutive quarter that Florida has reported higher existing home sales; sales activity rose 5 percent in 3Q 2008 compared to the same period the previous year, according to FAR.

Florida Realtors also reported a 3 percent gain in statewide sales of existing condominiums in the fourth quarter compared to the same time the previous year. This marks the first three-month period that has noted increased statewide sales in both the existing home and condo markets compared to year-ago levels.

Twelve of Florida’s metropolitan statistical areas (MSAs) reported increased sales of existing homes in the fourth quarter compared to the same three-month-period a year earlier, while eight MSAs showed gains in condo sales. A growing number of local markets have reported increased sales activity over the past few months, according to FAR.

The statewide existing-home median sales price was $161,200 in the fourth quarter; a year earlier, it was $216,600 for a decrease of 26 percent. According to industry analysts with the National Association of Realtors® (NAR), there remains a significant downward distortion in the current median price due to many discounted sales, including a large number of foreclosures. The median is a typical market price where half the homes sold for more, half for less.

To gain insight into current trends in Florida’s real estate industry, the University of Florida’s Bergstrom Center for Real Estate Studies conducts a quarterly survey of industry executives, market research economists, real estate scholars and other experts. According to the fourth quarter 2008 survey, respondents’ increasing concerns about the economy have dampened the investment outlook for various types of properties.

However, one positive sign is the recent dramatic increase in refinancing with the availability of 5 percent mortgage rates in mid-December, according to Dr. Wayne Archer, center director. If additional programs are put into place that create 4.5 percent Federal Housing Administration mortgages for people who have difficulty making payments, he said, it will do even more to stabilize the housing industry.

In the year-to-year quarterly comparison for condo sales, 8,374 units sold statewide for the quarter compared to 8,098 in 4Q 2007 for a 3 percent increase. The statewide existing-condo median sales price was $136,400 for the three-month period; in 4Q 2007, it was $190,400 for a decrease of 28 percent.

Continuing low mortgage rates remain another favorable influence on the housing sector. According to Freddie Mac, the national commitment rate for a 30-year conventional fixed-rate mortgage averaged 5.86 percent in 4Q 2008; one year earlier, it averaged 6.23 percent.

The outlook for housing and the economy remains clouded despite improved affordability conditions, according to NAR’s latest industry forecast. “For a sustainable housing market recovery and, thus a sustainable economic recovery, we need a significant housing stimulus and mortgage availability for qualified borrowers,” said NAR Chief Economist Lawrence Yun.

© 2009 FLORIDA ASSOCIATION OF REALTORS

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