NPR, July 4, 2017–Chris ArnoldInterest rates are near historic lows and consumer confidence is high, but the market isn’t booming. One reason may be mobility: people moving from state to state is half what it was two decades ago.
Category: Top National News
Monthly Agency MBS Issuance Jumps
Mortgage Daily, July 3, 2017Monthly issuance at the three federally controlled housing finance agencies turned solidly higher from the prior month, though there was a year-over-year decline.
Mid-Level Mortgage Executives Find New Homes
Mortgage Daily, July 3, 2017–Sam GarciaA number of recent management appointments at real estate finance firms included several mid-level executives filling regional positions.
Fed Eyes September Announcement on Balance-Sheet Reduction
Wall Street Journal, July 5, 2017–Nick Timiraos (subscription)Federal Reserve officials have indicated there is a strong chance they will announce in September a decision to start shrinking the central bank’s portfolio of bonds and other assets, while putting off until December any further interest-rate increase.
Bipartisan Overhaul of GSEs Reportedly in the Works
National Mortgage Professional, June 30, 2017–Phil HallSen. Mark Warner, D-Va., told a Mortgage Bankers Association conference last week that he and Sen. Bob Corker, R-Tenn., had found consensus on several issues, including developing a system that maintains the 30-year mortgage.
Wells Fargo Unsettles Mortgage Bond Market by Holding Back Funds
Bloomberg, June 30, 2017–Alastair Marsh, Tracy AllowayThe bank said it invoked its right as trustee to hold back funds to cover legal costs. The 20 transactions had a principal balance of $540 million and are among more than 2,000 deals involved in a lawsuit brought by bondholders.
Warren Buffett’s Berkshire Hathaway to Become Bank of America’s Biggest Holder
Wall Street Journal, June 30, 2017–Rachel Louise Ensign, Nicole Friedman (subscription)Warren Buffett’s firm Berkshire Hathaway Inc. said Friday that it would buy 700 million Bank of America Corp. shares via warrants at below-market prices, a deal that places the firm as the bank’s largest shareholder.
American Optimism of Future Economy Drops in June
HousingWire, June 30, 2017–Kelsey RamirezAmericans grew more uneasy about the future of the U.S. economy in June, according to the Survey of Consumers conducted by the University of Michigan.
U.S. Consumer Spending Rises Modestly, Inflation Cools
Reuters, June 30, 2017–Jason LangeU.S. consumer spending rose modestly in May and inflation cooled, pointing to a slow-but-steady economic expansion that could still lead the Federal Reserve to raise interest rates by the end of the year.
Odd Parcels: Of Glass, Flips and Stats
UExpress, June 30, 2017–Lew SichelmanA family looking to expand from a three-bedroom house it purchased in 2009 to one with four bedrooms now can expect to pay $614 more on average for their mortgage. That’s $7,368 a year, and it doesn’t count higher property taxes, larger insurance bills and perhaps homeowner association dues.