REO News

Delinquency Measures on the Rise

Tom — Thu, 14 Dec 2006 07:31:41 +0000

A number of delinquency measures including the delinquency rate and percentage of loans in foreclosure rose during the third quarter of 2006 according to a survey released Wednesday by the Mortgage Bankers Association.Â Though the increase was across the board, affecting prime, subprime and FHA mortgages, it was larger for FHA and “increases in delinquency rates were noticeably larger for subprime loans, particularly for subprime ARMs.”. The survey showed no indication of excessive problems with “non-traditional products such as interest-only or payment-option mortgages” compared to more traditional prime and subprime mortgages.
Copies of the survey are available for purchase by calling the Mortgage Bankers Association at (800) 348-8653.
mortgage delinquencies,foreclosure,foreclosure rate

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Study Highlights Value of Homeowner Education and Counseling

Tom — Wed, 02 Aug 2006 04:23:53 +0000

A Pennsylvania Housing Finance Agency study released Tuesday highlights the potential of education and counseling to reduce delinquencies.

Underscoring the need for more homeownership counseling, the study participants generally thought that many residents might avoid foreclosure if they were better educated about default and delinquency prevention.

According to the studys findings,â€œToo many foreclosed properties remain vacant, leading to vandalism and increased costs of rehabilitation for re-occupancy. Some out-of-state buyers of foreclosed properties are inexperienced and unfamiliar with mainetenance and management responsibilities.â€

DSNews.Com Default Servicing In Print and Online - Formerly REO Magazine

homeowner counseling,homeowner education

HUD to Review Fannie Mae and Freddie Mac Financial Statements

Tom — Thu, 15 Jun 2006 00:45:41 +0000

While Congress debates setting up a new entity to regulate the government sponsored mortgage market makers Fannie Mae and Freddie Mac, HUD is stepping in under existing authority to review their financial statements.

To that end, the Department will soon initiate a review of Fannie Mae and Freddie Mac investments and holdings, including certain equity and debt investments, with a focus on transactions classified on their financial statements as ‘other assets/other liabilities.’

HUD’s primary concern is whether the GSEs’ investment activities are consistent with their charter authorities and public purposes and whether each is using the profits it derives as a government-sponsored enterprise for the purposes intended.

Freddie Mac,Fannie Mae,HUD

Full House Promotion from Homesteps Offers Closing Costs Paid and Agent Bonuses

Tom — Wed, 03 May 2006 09:57:18 +0000

Freddie Mac’s Homesteps unit just kicked off their latest sales promotion, Full House, which runs from May 1 to September 29 and offers buyers a portion of their closing costs paid and selling agent bonuses up to $1,000 on any of the nearly 10,000 Homesteps homes nationwide.

They “will pay up to 1.5%* of your purchase price in closing costs, for all offers presented between May 1, 2006 - September 29, 2006″ and “with escrow closed by November 17, 2006″. The closing cost credit can’t exceed the actual closing costs, so a buyer with only 1 percent closing costs would get a 1 percent credit.

Agents and buyers will also want to take note of one very important requirement:

In order to receive the closing cost discount, or to redeem a bonus certificate, the selling agent must mention the certificate at the initial Offer Negotiation with HomeSteps, or bonus will not be valid.

For full details of the promotion and to sign up for the closing cost or agent bonus coupon, visit the Homesteps Full House webpage. [Popup window]

Homesteps,Freddie Mac

Massachusetts Foreclosures at 3 Year High

Tom — Wed, 05 Apr 2006 08:58:42 +0000

ForeclosuresMass reports that Massachusetts foreclosure rate has hit a three year high, up 25% over last year.

Foreclosures were filed on 1,200 properties, 25 percent higher than the year before and 63 percent higher than February 2004. Compared to January of this year, foreclosures increased nearly 12 percent, with Middlesex County posting a 29 percent increase.

Boston Business Journal: Bay State home foreclosures hit three-year high - 2006-04-04

Illinois Targets Foreclosure Scams

Tom — Mon, 03 Apr 2006 04:30:56 +0000

Illinois Attorney General Lisa Madigan filed a lawsuit Wednesday against a company that claims to help homeowners facing bankruptcy, but which, the state claims, has actually stolen the homes and equity of many homeowners in trouble.

“We’re looking at con artists. What they are doing is one of the evilest cons I’ve ever seen,” said Illinois Attorney General Lisa Madigan.

Madigan filed a lawsuit Wednesday that says Willis lost her home through fraud.

“They’re essentially stealing people’s homes and they’re stealing the equity that people have, as well,” Madigan said.

NBC5.com - News - Mortgage Scam Leaves Family Homeless

scam,mortgage fraud,foreclosure scam

Foreclosures Up 68% Over February 2005

Tom — Thu, 23 Mar 2006 11:08:53 +0000

117,259 properties nationwide entered some stage of foreclosure in February, a 13 percent increase from the previous month and a 68 percent increase from February 2005, according to the Monthly U.S. Foreclosure Market Report from RealTrac.

“This is the third straight month the U.S. foreclosure rate has moved higher, and it’s the second straight month new foreclosures have topped 100,000,” said James J. Saccacio, chief executive officer of RealtyTrac. “However, several states, including California, Florida, Texas and New York, reported a dip in foreclosures in February. We’ll see if the rest of the country follows that trend in March.”

foreclosure,foreclosures

RealtyTrac Inc. :: National Foreclosures Increase 13 Percent in February According to RealtyTrac(TM) U.S. Foreclosure Market Report

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Field Services Backlogged in Detroit Metro

Tom — Tue, 21 Mar 2006 07:29:21 +0000

With 3,300 active foreclosures in Wayne County, Michigan - the most in the nation - field service companies in the Detroit area are so backlogged the only promise they’ll make is that they will return your phone call in 5 business days.

Calls to most Metro Detroit firms result in a voice message saying someone will try to get back to you in five business days.

The crush is not hard to explain. Home foreclosures are soaring throughout Metro Detroit and Michigan amid high unemployment, overtime cutbacks and budget-busting bills for everything from gasoline to groceries. Wayne County ended January with more than 3,300 homes in active foreclosure — the highest of any county in the nation, according to statistics compiled by Foreclosure.com of Boca Raton, Fla.

Foreclosure business booms - 03/20/06 - The Detroit News

Detroit,foreclosure,field service

Freddie Mac Extends Hurricane Foreclosure Moratorium in Hardest Hit Counties, Ending It in All Others

Tom — Wed, 15 Feb 2006 12:29:04 +0000

Freddie Mac announced it is extending its foreclosure suspension until May 31, 2006 in the 21 counties and parishes in Alabama, Louisiana, Mississippi and Texas hit hardest by last year’s hurricanes. At the same time, Freddie Mac is ending the moratorium on foreclosures in areas that experienced the least damage.

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Bad Loans Out There - Still

Tom — Sun, 12 Feb 2006 07:24:03 +0000

Arizona Attorney General Terry Goddard commented on the recent Ameriquest Mortgage predatory lending settlement he helped negotiate in an interview with Amanda J. Crawford of the Arizona Republic. Of particular interest where his thoughts on the status of “bad loans” that have so far escaped delinquency and foreclosure because the market rescued the borrowers…and the lenders.

Right now, there are bad loans out there, which have not gone to foreclosure because the value of the underlying property has gone up so when people have gotten in trouble they could sell it and pay off their loan. When this problem is going to become most acute is if our market levels out or dips. . . . We are going to have people that are in loans that they really shouldn’t be in, that they don’t have sufficient income to pay, and if property values drop even a little bit, they will find that the loan is bigger than the value of their house. That is extremely dangerous, and it will cause amazing dislocation for people who are not going to just lose their house but end up with significant debts.

Mortgage controls sought