Two reports, two sets of bad numbers from the housing market. Both new construction and existing homes sold pretty poorly in January, pushing months' supplies up and putting more downward pressure on prices.
I'm not sure why exactly the hue and cry is rising from Capitol Hill to K Street to focus attention on Fannie and Freddie and their current state of government conservatorship.
What exactly is the monetary tipping point for a homeowner, someone occupying the home, hanging pictures on the walls, perhaps raising their kids in the second and third bedrooms, going to the neighborhood block parties...what exactly is the negative equity number that makes them say, "We're outta here."
Unlike residential real estate, which anyone with a pulse would agree took a rather desperate tumble over the last several years, the existence of a commercial real estate crash continues to be a subject of debate. Put a panel of "experts" up in the Brady Bunch boxes, and there will be a few who will argue that commercial real estate is on the upswing, and, in fact, a great investment.
It should come as no surprise to anyone following the housing crash that the government's $75 billion Making Home Affordable program, a.k.a. mortgage bailout, is not all things to all borrowers.
Bank of America quadrupled its number of permanent loan modifications in just one month, from 3,183 in mid January to 12,760 today. It also has 221,395 "active trial modifications," up from 200,287 in the January report.
I guess I didn't need the Congressional Oversight Panel for the TARP to tell me that commercial real estate was in trouble, but somehow it's a bit more poignant when they do.
LVG, which is a mortgage consultancy, is behind a program that would give future cash rewards to underwater borrowers who don't voluntarily walk away from their mortgage commitments.
As the nation's home builders try to claw their way out of the biggest abyss in the sector's history, the future landscape is beginning to look a bit different than they once thought.
In discussing the Obama Administration's Home Affordable Modification Program, which is arguably less successful than anyone intended, Wheeler made a comment leading some to believe that the Administration may be shifting focus from modifications to another program which simply gets troubled borrowers out of their homes as quickly and cleanly as possible.
