Today’s Top National News Dec. 13 2022
Here’s a summary of Top National News Items from major news sites and industry trade publications. To get started, click on the headline above:
Pimco Expands Into Real Estate
Orange County (Calif.) Business Journal, Dec. 12, 2022–Peter Brennan (subscription)
Newport Beach, California’s Pimco, best known for its bond funds, has started what it calls its “flagship offering in core real estate.” The company, with $1.7 trillion in assets under management, launched the Pimco Flexible Real Estate Income Fund, a real estate-focused interval fund that will invest in public and private markets.
https://www.ocbj.com/finance/pimco-expands-into-real-estate/
Here are the Best Cities for Women in Commercial Real Estate
GlobeSt.com, Dec. 12, 2022–Lynn Pollack
The share of women in the commercial and residential real estate industries slumped 5% from 2017 to 2021, and women still earn less on average than male counterparts in both sectors, a MyEListing analysis of Bureau of Labor Statistics data found.
https://www.globest.com/2022/12/12/here-are-the-best-cities-for-women-in-commercial-real-estate/
Cash-Strapped Home Sellers and Buyers are Getting Much-Needed Relief with Four Weeks of Mortgage Rate Drops
Business Insider, Dec. 12, 2022–Alcynna Lloyd
“We think we’re now past the peak on mortgage rates,” said Mike Fratantoni, chief economist at the Mortgage Bankers Association.
https://www.businessinsider.com/lower-mortgage-rates-are-making-home-buying-more-affordable-2022-12
Supreme Court Takes up Another Clash Over Biden’s Student Debt Relief Plan
The Hill, Dec. 12, 2022–John Kruzel
The two cases involve an effort by the Biden administration to reinstate a loan forgiveness program that would give federal borrowers making less than $125,000 a year up to $10,000 debt relief.
https://thehill.com/regulation/court-battles/3771973-supreme-court-takes-up-another-clash-over-bidens-student-debt-relief-plan/?
Expanded-Credit Lending Tries to Regroup in a Topsy-Turvey 3Q22
Inside Mortgage Finance, Dec. 12, 2022–John Bancroft
The third quarter of 2022 was the latest installment in the trial by fire that the expanded-credit mortgage market has endured since it emerged from the ashes of the subprime meltdown about a decade ago.
https://www.insidemortgagefinance.com/articles/226478-expanded-credit-lending-tries-to-regroup-in-a-topsy-turvey-3q22?v=preview
‘The Worst Is Over’ for Mortgage Rates Despite Another Looming Fed Hike, Experts Say
Time, Dec. 12, 2022–Katherine Watt
Experts and financial markets generally expect the Federal Reserve to hike its benchmark short-term interest rate, the federal funds rate, by 50 basis points this week. But experts say the next moves for mortgage interest rates depend more on the tone of Fed Chairman Jerome Powell’s projections for 2023.
https://time.com/nextadvisor/mortgages/mortgage-news/mortgage-rates-december-fed-meeting/
In a Brutal Market, Lenders Sieze on Correspondent
HousingWire, December 12, 2022–Flávia Furlan Nunes
Lenders are capitalizing on competitor exits, investing in technology and growing through acquisitions.
https://www.housingwire.com/articles/in-a-brutal-mortgage-market-these-lenders-are-taking-refuge-in-correspondent/
Consumers Expect Both Inflation & Home Prices To Fall
National Mortgage Professional, Dec. 12, 2022–Katie Jensen
The Federal Reserve Bank of New York’s Center for Microeconomic Data released the November 2022 Survey of Consumer Expectations, showing that inflation expectations decreased in November at the short, medium, and longer terms. Additionally, home-price growth is expected to decline. Meanwhile, labor market expectations strengthened and household income growth expectations increased to a new series high.
https://nationalmortgageprofessional.com/news/consumers-expect-both-inflation-home-prices-fall
All-Cash Offer Fintech UpEquity Undergoes Round of Layoffs,
National Mortgage News, Dec. 12, 2022–Spencer Lee (subscription)
The Austin, Texas-based company let go of approximately 10 to 15 employees, accounting for close to 25% of its staff, on December 7, according to multiple sources who requested anonymity. Layoffs occurred across several departments, and among the personnel whose positions were eliminated was its head of mortgage, Dani Hernandez.
https://www.nationalmortgagenews.com/news/all-cash-offer-fintech-upequity-undergoes-round-of-layoffs
Homebuilders Buy Time With Huge Pandemic Backlogs
Bloomberg, Dec. 12, 2022–Conor Sen
As the pipeline empties, lower costs and mortgage rates should kickstart a new wave of construction in 2023, even if it requires uncomfortable price cuts.
https://www.bloomberg.com/opinion/articles/2022-12-12/homebuilders-buy-time-with-huge-pandemic-backlogs
Home Building Supply Costs Edge Down in November
National Mortgage News, Dec. 12, 2022–Spencer Lee (subscription)
Costs for home building materials edged downward in November, decreasing for the fifth time in six months, as reduced fuel and lumber prices helped counter rising concrete and services charges, according to analysis from the National Association of Home Builders.
https://www.nationalmortgagenews.com/news/home-building-supply-costs-edge-down-in-november