MBA Newslinks Archive

“MBA supports S. 2155 and would urge all Senators to vote to preserve the bill’s key elements throughout the amendment process, and, in turn, to vote in favor of the bill’s final passage at the conclusion of the debate. We applaud and appreciate the collective, bipartisan coalition efforts that led to the crafting of S. 2155 (and the substitute amendment), and believe that these outlined portions of the legislation will remove many of the barriers and regulatory burdens that have impacted consumers’ current access to mortgage credit.”–From an MBA letter in support of legislation under consideration by the Senate that would provide relief from regulatory burdens on the real estate finance industry.

“Smaller footprints have more opportunities in urban locations and in mixed-use projects. Grocers like Aldi and Trader Joe’s benefit from the flexibility to take smaller spaces in vertically integrated projects. HyVee recently announced that while traditional-sized stores will still be rolled out, smaller-format stores of 10,000 square feet will be a focus.”–JLL Retail Research Director James Cook.

“More and more millennials are reaching the point in their lives where they are ready to buy a home, but they are entering a highly competitive housing market that has been plagued by low inventory, especially among entry-level homes. Southeastern markets will be easiest for new buyers, where homes are more affordable and there’s less competition. People planning to buy for the first time in some of the tougher markets should be prepared to face a more competitive environment, but that doesn’t mean they should count out buying entirely.”–Zillow Economist Adam Terrazas.

“The surge in home flipping in the last three years is built on a more fundamentally sound foundation than the flipping frenzy that we witnessed a little more than a decade ago. Flippers are behaving more rationally, as evidenced by average gross flipping returns of 50 percent over the last three years compared to average gross flipping returns of just 31 percent between 2004 and 2006–the last time we saw more than 200,000 home flips in consecutive years.”–Daren Blomquist, senior vice president with ATTOM Data Solutions, Irvine, Calif.

“Rates inched higher overall last week driven by market concerns over potential U.S. trade tariffs, and Fed Chairman [Jerome] Powell’s testimony outlining stronger economic growth and higher expected inflation in the near future. Refinance activity increased slightly last week, but remains close to year-end lows.” –MBA Economist Joel Kan.

“Commercial and multifamily mortgages ended 2017 continuing to perform extraordinarily well. The market tailwinds of strong fundamentals, increasing property values and ready access to mortgage and other credit all put downward pressure on delinquency rates.”–MBA Vice President of Commercial Real Estate Research Jamie Woodwell.

“While misrepresentation and manufacturing defects can happen on either purchase or refinance transactions, there is a greater propensity for fraud with purchase transactions. The uptick in defect frequency in purchase transactions in January is an indication of heightened fraud risk.”–First American Financial Corp. Chief Economist Mark Fleming.

“Potential buyers deferred homeownership, some even reverted to staying with parents. However, it has become clear in the past three years that some potential buyers have decided the wait is over. The millennial generation is starting to reach the age for starting families and buying homes. The strong job market, rising home prices and historically low interest rates also provided favorable economic conditions for potential buyers. These are the main reasons for the sharp recovery in the first-time homebuyer market since 2014.”–Genworth Chief Economist Tian Liu.

“Inventory has been deteriorating for more than two years, yet 2018 started off with buyer demand stronger than in any previous January we’ve measured. Along with inventory declines, buyers contended with rising mortgage rates, an overhaul of the tax code and a jumpy stock market. However, strong local labor markets helped keep buyers enthusiastic about homeownership despite headwinds.”–Redfin Chief Economist Nela Richardson.

“MBA believes in housing counseling as an important service that can make someone’s homeownership dreams come true. The mission of our partners in the housing counseling community and the real estate industry as a whole is completely aligned.”–Steve O’Connor, MBA Senior Vice President of Public Policy and Industry Relations.