News

Since its debut in 2007, the National Foreclosure Mitigation Counseling Program, established by Congress to address the housing crisis, has reached more than 1.4 million homeowners, according to the Center for Responsible Lending. However, the Center suggests there are plenty of homeowners still in need in still-struggling parts of the country. According to the Center, 21 towns in Texas are among those in the greatest need of additional foreclosure counseling services.

The CoreLogic Case-Shiller Home Price Indexes experienced a double-digit national price gain in Q1, a first since the housing bubble took place seven years ago. Prices increased an average of 10.2 percent from the first quarter of last year to the first quarter of this year across the 380 metro markets tracked. However, David Stiff, chief economist for CoreLogic Case-Shiller, does predict a slow-down in appreciation over the next year. From the first quarter of this year to the first quarter of next, the Case-Shiller Indexes predict a 6.5 percent price gain.

National Mortgage Insurance Corporation (National MI) announced Wednesday it will insure about $5 billion in residential mortgages in its first risk transfer transaction with Fannie Mae.

In Rhode Island, a superior court dismissed an attempt to invalidate a foreclosure conducted by OneWest Bank, MERSCORP Holdings, Inc. announced in a release.

Fixed mortgage rates increased this week following the Federal Open Market Committee's affirmation that it intends to stay the course on its bond purchasing policy. According to Freddie Mac's survey, the 30-year fixed-rate mortgage (FRM) averaged 4.39 percent (0.7 point) for the week ending August 1, up from 4.31 percent last week. Last year at this time, the 30-year fixed averaged 3.55 percent. Bankrate.com's weekly national survey also showed interest rates climbing slightly. The 30-year fixed average rose to 4.59 percent this week.

Undoubtedly, broadening eligibility for the Home Affordable Refinance Program (HARP) has allowed more borrowers to benefit from the program. However, HARP rules aren't the only obstacles stunting refinance volume. A report from the Federal Housing Finance Agency Office of Inspector General (FHFA OIG) found a lack of borrower education is also a critical barrier to the program. ""[M]any borrowers have not heard of the program, confuse the program with other government housing programs, or do not realize that they are eligible,"" the report stated.

First-time claims for unemployment insurance dropped to the lowest level in five years, falling 19,000 to 326,000 for the week ending July 27, the Labor Department reported Thursday. Economists expected the number of claims to edge up to 345,000 from the 343,000 originally reported for the week ending July 20. The number of filings for that week was revised to 345,000.

Fannie Mae and Freddie Mac are raising the fixed interest rate for non-HAMP (Home Affordable Modification Program) modifications. The new interest rate adjustments serve to reflect current market conditions and will be applied to standard and streamlined modifications. Starting September 1, 2013, interest rates for modifications will rise from 4 percent to 4.625 percent.

The Federal Housing Administration (FHA) Solvency Act of 2013 is headed to the Senate after receiving approval from the Committee on Banking, Housing, and Urban Affairs. The bill passed by a vote of 21-1, according to a release from the committee's website. The bill includes a number of bipartisan proposals from the committee intended to strengthen the FHA's financial situation, protect taxpayers, and ensure qualified borrowers still have access to credit.

After the city of Richmond, California, announced an unconventional plan to ward off foreclosures among underwater homeowners, several industry groups have called into question the constitutionality of the plan. The plan, which ""is fraught with negative economic consequences for the community,"" according to the ""Association of Mortgage Investors (AMI), is for the city to obtain the mortgage loans of underwater properties and help homeowners refinance at their homes' current value.