News

Many economists and market observers have suggested the market is poised for continued growth as the recovery enters its third year, and there are positive elements in play that provide some reasons for optimism. Recent loan vintages continue to perform at levels better than historical norms, which has allowed the industry to work through its backlog of distressed assets; foreclosure activity is declining; and housing starts have begun to rise.

With fewer properties entering the foreclosure process and more delinquent borrowers avoiding foreclosure, the number of foreclosed single-family homes held by lenders and government agencies has rapidly declined. In the April issue of DS News magazine, contributing writer Keith Button explored the many market drivers taking their toll on the once-strong stock of bank-owned homes.

The National Association of Realtors recently released the results of a national survey conducted in July 2013 among homebuyers who had made their purchase within the previous year. The data collected brings fresh insights into all phases of the homebuying process and helps recognize emerging trends to help real estate professionals understand the needs and expectations of their clients. What did the study uncover?

Mortgage industry commentators may argue (and they certainly have) about the Consumer Financial Protection Bureau's (CFPB) performance over the last year, but one thing is certain: The bureau knows how to command headlines. Early this year, CFPB finally issued its long awaited Qualified Mortgage (QM) guidelines along with a slew of other finance regulations. With the future of housing finance on the line, it's no wonder readers of DSNews.com couldn't tear themselves away from the news.

Based on a poll of borrowers that have been subject to foreclosure, authorities at LoanSafe.org and AfterForeclosure.com say they're confident that 2014 will be the year of the ""boomerang"" borrower. They say changes in lending guidelines and population shifts make these buyers essential to the recovery of the housing market, particularly since developments that naturally advance housing have been largely disrupted in today's environment.

In a commentary shared with DSNews.com, Peter Muoio, chief economist for Auction.com Research, revealed the company's predictions for 2014. Muoio says the housing recovery will get its second wind next year, the Federal Reserve's tapering of stimulus measures will extend for a longer period that most analysts are expecting, REO-to-rental will cool off, and the Canadian housing bubble will come closer to bursting.

As we head toward the close of 2013, many wonder what the new year will bring for economic growth, what plans the Federal Reserve has for its stimulus, and how employment and the housing market will take shape. IHS Global Insight recently released its 2014 outlook, addressing these and other factors affecting the U.S. and global economies in the coming year. IHS says global economic growth will increase from 2.5 percent this year to 3.3 percent next year, with the U.S. growing 2.6 percent, up from 1.7 percent.

Existing-home sales dipped on both a monthly and annual basis in November, marking the first year-over-year decline in sales in nearly two and a half years. Hurt by higher mortgage interest rates, constrained inventory, and tight credit, sales of previously owned homes came in at an annualized rate of 4.90 million last month, the National Association of Realtors reported.

Potestivo & Associates, P.C. announced the hiring of Nathan Lichtman, as the firm's newest associate attorney. Lichtman has an established presence at the firm, as he has been employed employed as a title coordinator/law clerk at the Rochester Hills office since March 2013.

In its final meeting of 2013, the Federal Reserve's Federal Open Market Committee (FOMC) voted to begin dialing back its asset purchase program in January. The committee agreed to scale back its purchases of agency mortgage-backed securities (MBS) to a pace of $35 billion per month; at the same time, purchases of Treasury securities will shrink to $40 billion per month. Together, the cuts represent an overall reduction of $10 billion in purchases each month.