Mortgage applications have increased according to the Mortgage Bankers Association’s weekly report while mortgage rates continue to fall. The (MBA) stated that the seasonally adjusted composite index increased 4.7%, and the seasonally adjusted purchase index grew by 4.00% from last week. The average 30-year fixed rate mortgage fell to the lowest rate seen since November of last year, averaging 4.58% while the 15-year fixed-rate mortgage also decreased 0.4%, averaging 3.68%. Experts suggest that the growth in mortgage applications and decrease in rates could be an indicator for a strong spring housing market. More here
We here at Millenium Home Mortgage had a wonderful time at our holiday party on December 20ththat rounded out our 2013 and kicked off our 2014 and we thought we’d share a few photos with you! We hope that you and your families had equally amazing holidays and we wish you a very happy and prosperous 2014!
New research shows that single-family housing may be decreasing while the rental market continues to grow. Many reports in the U.S. have shown that the rental market is increasing. A large amount of investors are betting on multifamily housing as many younger adults are choosing to rent due to job constraints and other financial factors. Chris Flanagan, MBS/ABS Strategist with Bank of America-Merrill Lynch and MBS Strategist Justin Borst said in their Securitization Weekly Overview, “the December housing starts report provided some confirmation of the theme we discussed last week, which was that it appears as if a structural shift away from getting a mortgage and buying a single-family home to just being a renter is underway.” More here
In the past, reverse mortgages may not have been considered a good idea by many, but as the program grows and continues to improve, the option of a reverse mortgage is becoming more appealing. Amy Hoak, a MarketWatch columnist said, “as people live longer due to medical advances, more of them may need to get at their home equity to pay for their medical costs. Also relevant is that many Americans near retirement age have a considerable amount of wealth in housing equity; 25% of all wealth was held in the form of home equity in 2011, according to the U.S. Census Bureau.” The program has helped many struggling seniors stay in their homes through financial hardship. Experts advise that all seniors who are considering a reverse mortgage be educated on the program. More here
According to RealtyTrac, foreclosures in the U.S. last year fell 26% from 2012. 2013 saw the lowest level of foreclosures in six years. The total number of foreclosures, scheduled auctions, notices of default and bank repossessions fell to 1.36 million last year, helping the national foreclosure rate decrease to approximately 1.04%. The vice president at RealtyTrac, Daren Blomquist said, “millions of homeowners are still living in the shadow of the massive foreclosure crisis, but the shadow cast by the foreclosure crisis is shrinking as fewer distressed properties enter foreclosure and properties already in foreclosure are poised to exit in greater numbers in 2014.” More here
