|  |  | | Check here for helpful articles related to the mortgage and housing industy.
FHFA Answers Conflict of Interest Charges Against Freddie Mac
by Jann Swanson
January 31, 2012
The Federal Housing Finance Agency (FHFA) issued a statement late Monday refuting a story from ProPublic and NPR that a complicated investment strategy utilized by Freddie Mac had influenced it to discourage refinancing of some of its mortgages. FHFA confirmed that the investments using Collateralized Mortgage Obligations (CMOs) exist but said they did not impact refinancing decisions and that their use has ended. (the NPR Story) Read More...
Report Prompts Calls To End Freddie Mac's Conflict of Interest
by Chris Arnold and Marilyn Geewax
January 30, 2012
Several U.S. lawmakers and prominent economists on Monday said Congress and the White House should end a financial conflict of interest at the taxpayer-owned mortgage company Freddie Mac.
Freddie Mac, which has a public mission to help make home ownership affordable, also has placed multibillion-dollar bets against American homeowners being able to refinance to cheaper mortgages. Read More...
Economist Don't Foresee Home Price Appreciation Until After 2013
by Carrie Bay
December 23, 2011
Home prices in the U.S. are expected to post a decline of 1.57 percent for the fourth quarter of 2011, after falling 0.4 percent through September, according to more than 100 economists and housing experts surveyed by Zillow.
Prices are forecast to decline until the market’s bottom is reached in late 2012 or early 2013. After 2013, the panelists expect a relatively steady annual appreciation rate of roughly 3 percent through 2016, which is slightly below appreciation rates experienced during the pre-bubble years.
“There is a consensus among the nation’s top housing experts that we have not yet reached a bottom and are instead working through a prolonged bottoming process,” commented Dr. Stan Humphries, Zillow’s chief economist.
According to Humphries, negative equity, unemployment, and low consumer confidence remain the key factors delaying a true recovery in the housing market. Read More...
Freddie Mac Expects Low Mortgage Rates Through Mid-2012
by Carrie Bay
December 23, 2011
Mortgage rates will likely remain very low, at least through mid-2012, according to Freddie Mac.
Rates on 30-year conforming mortgages have hovered around 4.0 percent or lower for the past quarter. The GSE says that in large part due to the Federal Reserve's program for extending the maturity date for mortgage securities it holds. This program is expected to continue through the middle of next year.
This should keep fixed rates for 15-through 30-year mortgages relatively low during the first half of the year, with rates edging up during the second half, Freddie Mac said in its latest market outlook. Read more...
Politicians Allegedly Participated in Countrywide's VIP Program
by Krista Franks
December 20, 2011
Rep. Darrell Issa (R-California) sent a letter to the chairman and ranking member of the Committee on Oversight and Government Reform to inform them that he has found evidence that four current members of the House of Representatives received loans through a VIP loan program that has been under investigation since 2008.
The loan program was operated by Countrywide, which Bank of America purchased in 2008.
The program — commonly referred to as the “Friends of Angelo” program — allegedly offered specific individuals loans at lower interest rates than was available to the public.
In 2009, Issa said, “This investigation finds that Countrywide embarked in a determined and calculated effort to buy influence – employees openly weighed the political influence of targeted officials when deciding what perks to offer.” Read More...
|
|
|
