{"id":815,"date":"2016-01-27T08:18:57","date_gmt":"2016-01-27T08:18:57","guid":{"rendered":"http:\/\/team.simplyfreedom.ws\/?p=815"},"modified":"2016-05-07T08:41:17","modified_gmt":"2016-05-07T08:41:17","slug":"corelogic-distressed-sales-accounted-for-12-of-homes-sold-nationally-in-november-2015","status":"publish","type":"post","link":"http:\/\/team.simplyfreedom.ws\/index.php\/corelogic-distressed-sales-accounted-for-12-of-homes-sold-nationally-in-november-2015\/","title":{"rendered":"CoreLogic – distressed sales accounted for 12% of homes sold nationally in November 2015"},"content":{"rendered":"

Published on: Jan 27, 2016 @ 8:18 am
\n<\/b><\/span><\/p>\n

CoreLogic – distressed sales accounted for 12% of homes
\nsold nationally in November 2015<\/h3>\n

–\u00a0 Of total sales in November 2015, distressed sales
\nmade up 11.9% and real estate-owned (REO) sales made up
\n8.7%<\/p>\n

–\u00a0 Maryland remains the state with the largest share of
\ndistressed sales among all states at 20.3%<\/p>\n

–\u00a0 Denver-Aurora-Lakewood, Colo. had the lowest
\ndistressed sales share among the largest Core Based
\nStatistical Areas (CBSAs) at 3.1%<\/p>\n

Distressed sales, which include REOs and short sales,
\naccounted for 11.9% of total home sales nationally in
\nNovember 2015, down 1.9 percentage points from November
\n2014 and up 1.4 percentage points from October 2015.
\nThis month-over-month increase was expected due to
\nseasonality, and the magnitude of the change was in
\nline with previous Novembers.\u00a0 Within the distressed
\ncategory, REO sales accounted for 8.7% and short sales
\naccounted for 3.2% of total home sales in November
\n2015. The REO sales share was 1.5 percentage points
\nbelow the November 2014 share and is the lowest for the
\nmonth of November since 2007. The short sales share
\nfell below 4% in mid-2014 and has remained in the 3-4%
\nrange since then. At its peak in January 2009,
\ndistressed sales totaled 32.4% of all sales, with REO
\nsales representing 27.9% of that share. While
\ndistressed sales play an important role in clearing the
\nhousing market of foreclosed properties, they sell at a
\ndiscount to non-distressed sales, and when the share of
\ndistressed sales is high, it can pull down the prices
\nof non-distressed sales. There will always be some
\nlevel of distress in the housing market, and by
\ncomparison, the pre-crisis share of distressed sales
\nwas traditionally about 2%. If the current
\nyear-over-year decrease in the distressed sales share
\ncontinues, it will reach that \u201cnormal\u201d 2-percent mark
\nin mid-2019.<\/p>\n

All but nine states recorded lower distressed sales
\nshares in November 2015 compared with a year earlier.
\nMaryland had the largest share of distressed sales of
\nany state at 20.2%[1] in November 2015, followed by
\nConnecticut (19.1%), Florida (19%), Michigan (18.9%)
\nand Illinois (17.8%). North Dakota had the smallest
\ndistressed sales share at 2.7%. Nevada had a 5.4
\npercentage point drop in its distressed sales share
\nfrom a year earlier, the largest decline of any state.
\nCalifornia had the largest improvement of any state
\nfrom its peak distressed sales share, falling 59.2
\npercentage points from its January 2009 peak of 67.4%.
\nWhile some states stand out as having high distressed
\nsales shares, only North Dakota and the District of
\nColumbia are close to their pre-crisis levels (within
\none percentage point).\u00a0 Of the 25 largest CBSAs based
\non mortgage loan count, Orlando-Kissimmee-Sanford, Fla.
\nhad the largest share of distressed sales at 21.2%,
\nfollowed by Tampa-St. Petersburg-Clearwater, Fla.
\n(20.7%), Baltimore-Columbia-Towson, Md. (20.4%),
\nChicago-Naperville-Arlington Heights, Ill. (20.4%) and
\nMiami-Miami Beach-Kendall, Fla. (20.3%).
\nDenver-Aurora-Lakewood, Colo. had the smallest
\ndistressed sales share among the largest CBSAs at 3.1%.
\nLas Vegas-Henderson-Paradise, Nev. had the largest
\nyear-over-year drop in its distressed sales share,
\nfalling by 5.5 percentage points from 20.3% in November
\n2014 to 14.8% in November 2015. Riverside-San
\nBernardino-Ontario, Calif. had the largest overall
\nimprovement in its distressed sales share from its peak
\nvalue, dropping from 76.3% in February 2009 to 10.9% in
\nNovember 2015.<\/p>\n

Oil prices attempt to trim losses<\/h3>\n

Oil futures pared losses on Wednesday, echoing a modest
\nstock market recovery, but analysts said a surprise
\nballooning in US inventories and little chance of the
\nworld’s major producers agreeing to cut output would
\nlikely temper any rallies.\u00a0 Fresh evidence of slowing
\ngrowth in top commodities consumer China, along with
\ncaution before the outcome of the US Federal Reserve’s
\nfirst policy meeting of the year, earlier knocked
\naround $1 off the price of oil.\u00a0 Senior OPEC and
\nRussian officials on Tuesday stepped up vague talk of
\npossible joint action to eliminate one of the largest
\noil surpluses in modern times, although few market
\nwatchers believed this would result in any cuts to
\noutput.\u00a0 Brent crude was last down 26 cents at $31.54 a
\nbarrel by 1347 GMT (8:47 a.m. ET), having hit a session
\nlow of $30.83, in lockstep with European equities
\nedging off the day’s lows. US futures fell 65 cents to
\n$30.80 a barrel.\u00a0 Oil has risen from last week’s 2003
\nlows after speculators unwound some of the record-high
\nbearish positions they had racked up over the last six
\nmonths.\u00a0 “There is dove-tailing of moves in oil with
\nmoves in equities that is happening and of course the
\nequity markets, we’ve seen, are so prone to risk
\naversion,” BNP Paribas global head of commodity
\nstrategy Harry Tchilinguirian said.\u00a0 “Right now oil is
\nbuffeted between short-covering, cross-asset
\ncorrelations and its own weak fundamentals.”\u00a0 Oil
\nprices have fallen nearly 16% in January, bringing
\ntotal losses since the start of the decline in mid-2014
\nto 77%. US crude stocks rose by 11.4 million barrels
\nlast week to 496.6 million, the American Petroleum
\nInstitute said, topping analyst expectations for an
\nincrease of 3.3 million barrels.<\/p>\n

Mortgage applications down<\/h3>\n

Mortgage applications increased 8.8% from one week
\nearlier, according to data from the Mortgage Bankers
\nAssociation’s (MBA) Weekly Mortgage Applications Survey
\nfor the week ending January 22, 2016.\u00a0 This week’s
\nresults include an adjustment to account for the Martin
\nLuther King holiday.\u00a0 The Market Composite Index, a
\nmeasure of mortgage loan application volume, increased
\n8.8% on a seasonally adjusted basis from one week
\nearlier.\u00a0 On an unadjusted basis, the Index increased
\n0.3% compared with the previous week.\u00a0 The Refinance
\nIndex increased 11% from the previous week.\u00a0 The
\nseasonally adjusted Purchase Index increased 5% from
\none week earlier. The unadjusted Purchase Index
\nincreased 0.4% compared with the previous week and was
\n22% higher than the same week one year ago.\u00a0 The
\nrefinance share of mortgage activity decreased to 59.0%
\nof total applications from 59.1% the previous week. The
\nadjustable-rate mortgage (ARM) share of activity
\nincreased to 6.9% of total applications.\u00a0 The FHA share
\nof total applications decreased to 12.7% from 13.7% the
\nweek prior. The VA share of total applications
\nincreased to 11.1% from 10.8% the week prior. The USDA
\nshare of total applications remained unchanged from
\n0.7% the week prior.<\/p>\n

Franchisees fight back against $15 wages
\nThe International Franchise Association, the industry’s
\nlargest trade group, wants the Supreme Court to take up
\nits challenge to portions of Seattle’s $15 minimum wage
\nlaw.\u00a0 Seattle’s City Council in June 2014 voted to
\nraise the minimum wage in increments, hitting $15 an
\nhour by 2017 for businesses with at least 500 staffers.
\nThe $15 level is more than double the federal hourly
\nminimum of $7.25.<\/p>\n

The International Franchise Association and five
\nSeattle franchisees quickly sued Seattle, which like
\nNew York City has moved to treat smaller franchised
\nbusinesses like larger companies.\u00a0 They argued that the
\nmandated $15 pay unfairly lumps franchised businesses
\nwith large employers. The association and franchisees
\nwant to be recognized as smaller businesses to get more
\ntime to raise pay incrementally to $15 by 2021.\u00a0 “Our
\nappeal has never sought to prevent the City of
\nSeattle’s wage law from going into effect,” franchise
\nassociation President Robert Cresanti said in a
\nstatement this week. “Our appeal to the Supreme Court
\nwill be focused solely on the discriminatory treatment
\nof franchisees under Seattle’s wage law and the
\nmotivation to discriminate against interstate
\ncommerce.”\u00a0 The association said a response is due from
\nthe city of Seattle within 30 days, and the Supreme
\nCourt is expected to announce this spring whether it
\nwill hear the case.<\/p>\n

In March 2015, a federal judge threw out the franchise
\ngroups’ lawsuit, and the decision was upheld in
\nSeptember by the 9th US Circuit Court of Appeals.\u00a0 For
\nnow, Seattle wages are tiered. The wages range from
\n$10.50 to $13 an hour, depending on the size of the
\nemployer and whether the company pays toward medical
\nbenefits.\u00a0 A representative from Seattle Mayor Ed
\nMurray’s office could not be immediately reached for
\ncomment.\u00a0 The impact of higher mandated pay on
\nfranchisees is contentious.\u00a0 A recent survey from the
\nconservative Employment Policies Institute, a
\nconservative nonprofit research organization, found
\nfranchisees are more harmed than nonfranchised
\nbusinesses when implementing wage hikes.\u00a0 The survey of
\nmore than 600 businesses found franchisees are more
\nlikely to take “offsetting steps including reducing
\nstaff, reducing hours and using automation to manage
\nthe increased labor costs caused by minimum wage
\nincreases” than are nonfranchised businesses.\u00a0 This
\ntrend was more pronounced in the fast food and hotel
\nsectors \u2014 more than 80% of franchised fast food owners
\nsaid they would be more likely to reduce hiring, versus
\n58% of non-fast-food restaurant owners. And nearly 90%
\nof franchised hotels said they would raise room rates,
\ncompared with 70% of nonfranchised hotels.
\nPolicymakers will compound the damage of a $15 minimum
\nwage by arbitrarily targeting businesses with a
\nrecognizable brand for uniquely-harsh wage mandates,”
\nMichael Saltsman, the Washington, D.C.-based
\ninstitute’s research director, said in a statement.<\/p>\n

Zillow – rapid reaction: December new home sales<\/h3>\n

–\u00a0 Sales of newly built homes rose more than 10% in
\nDecember from November, to 544,000 units sold (SAAR),
\nthe best month for new home sales since February 2015
\nand second best since 2008.<\/p>\n

–\u00a0 Similar to existing home sales, some sales that may
\nhave otherwise closed in November may have been pushed
\ninto December because of new settlement and disclosure
\nrules.<\/p>\n

–\u00a0 The seasonally adjusted median price of a new home
\nfell 4.3% from December 2014, to $285,200, the biggest
\nannual decline since early 2012.<\/p>\n

New home sales had a strong December, recording their
\nbest month since February 2015 and second-best since
\n2008, according to the US Census Bureau. Additionally,
\nfor the first time since July 2015, both new and
\nexisting home sales for the month moved in the same
\ndirection, reversing a months-long trend in which one
\nwould rise, and the other would fall. But even with the
\nstrong finish, sales of newly built homes are still
\nrunning slightly below their February level and were
\nroughly flat over the course of 2015. Additionally,
\nlike existing home sales, new home sales in December
\nwere likely boosted by recently adopted changes in
\nsettlement and disclosure rules that pushed closings
\nthat may have occurred in November into December. The
\nprice of new homes, which have been fetching a large
\npremium over existing homes as builders focus on a
\nhigher-end clientele, fell 4.3% year-over-year in
\nDecember (seasonally adjusted) to $285,200, the biggest
\nannual decline since early 2012. This is some \u2014 modest
\n\u2014 good news for buyers struggling to find a home to buy
\nand get a hold in the market.<\/p>\n

WSJ – what\u2019s ahead for jumbo-loan borrowers in 2016<\/h3>\n

The jumbo-mortgage market reached new highs in 2015 and
\nrecent turmoil in global stocks is unlikely to slow it
\ndown much in 2016, industry experts say.\u00a0 Lenders
\nprovided an estimated $320 billion in jumbo mortgage
\nfinancing in 2015, which translates to 19% of all
\nmortgage lending, says Guy Cecala, CEO and publisher of
\nInside Mortgage Finance. That\u2019s up slightly from 18% of
\nthe market in 2014 and the highest market share since
\n2002, he says.\u00a0 While a down stock market might mean
\nless available cash for some home buyers to purchase an
\nexpensive home, historically people also have shifted
\nassets to real estate as a safer investment, Mr. Cecala
\nsays. \u201cWhether that plays out depends on how long the
\nstock market stays down,\u201d he adds. The market dip is
\nlikely to keep interest rates below 4% for a while
\nlonger, which also could make borrowing large sums more
\nattractive, says Keith Gumbinger, vice president of
\nmortgage-rate website HSH.com. The Federal Reserve also
\nis less likely to raise short-term rates this spring,
\nhe adds.\u00a0 Mr. Gumbinger expects the Fed to raise
\nshort-term rates no more than two to three times in
\n2016, with the average 30-year, fixed-rate jumbo not
\ntopping 4 5\/8%. Five-year, adjustable-rate mortgages
\ncould go up to 4%, he adds.<\/p>\n

Fear of rising rates and home prices could spur a
\nhomebuying frenzy in the spring, says Ray Rodriguez,
\nregional mortgage sales manager for Cherry Hill,
\nN.J.-based TD Bank. Existing borrowers with
\nadjustable-rate mortgages nearing the end of their
\nfixed-rate may also rush to refinance, he adds.\u00a0 Still,
\noverall refinance rates are expected to be lower than
\nin 2015 since so many borrowers have already
\nrefinanced, says David Adamo, CEO of Stamford,
\nConn.-based Luxury Mortgage. An unexpected rate dip in
\nwinter-spring 2015 triggered a refinance frenzy.
\nLoosened credit-qualifications rules will continue in
\n2016, but nothing like what occurred in the 2000s that
\nled to the mortgage crisis, Mr. Adamo says. Last year,
\nminimum FICO scores for jumbos dropped to 660 for some
\nlenders, for example, and down payments could be as low
\nas 15% or even 10%. Still, borrowers with a credit
\nscore of 740 or above who put 20% down can expect to
\nget the best interest rates.\u00a0 Jumbo borrowers have
\nloans that exceed conforming limits of government-back
\nloans, $417,000 in most places and $625,500 in some
\nhigh-cost areas. The Federal Housing Finance Agency
\ndidn\u2019t raise baseline limits last year because home
\nprices haven\u2019t returned to prerecession levels
\nnationwide. But 39 counties in the US\u2014covering Denver,
\nNashville and Napa, Calif., among others\u2014were bumped
\ninto the high-cost category, so borrowers there now
\nqualify for more financing.<\/p>\n

Also last year, the Consumer Finance Protection Bureau
\nintroduced new documents that aim to make it easier to
\ncompare different mortgage offerings. Many lenders were
\nconcerned that a new rule requiring a three-day waiting
\nperiod for borrowers to receive and review the
\ndocuments would delay closings or kill deals, but
\nlenders, real-estate agents and borrowers largely
\nadapted to the change, says John Schleck, Bank of
\nAmerica\u2019s online and centralized sales executive. \u201cWe
\nspent a lot of time getting ready and it paid off,\u201d he
\nadds.\u00a0 Finally, more borrowers will be able to conduct
\nbusiness virtually this year, a trend expected to rise
\nrapidly in future years, says Victor Ciardelli, CEO of
\nChicago, Ill.-based Guaranteed Rate. That trend isn\u2019t
\nlimited to online lenders either. For example, Wells
\nFargo Home Mortgage rolled out a new feature for its
\nYourLoanTracker service in which borrowers can receive
\nand upload documentation via a mobile or other digital
\ndevice, as well as track loan progress, says Brad
\nBlackwell, executive vice president and portfolio
\nbusiness manager for the company.\u00a0 Unless the bottom
\nfalls out of the economy, jumbo lenders predict
\ncontinued demand, Mr. Cecala says. Regional banks and
\nnonbank lenders were able to expand their jumbo
\nmortgage volume largely because of continued enthusiasm
\non the part of big banks to buy and hold them in
\nportfolio.\u00a0 Wells Fargo remains the nation\u2019s largest
\njumbo lender, both for originations and purchasing
\nloans from other lenders to hold in portfolio. \u201cWe have
\na strong appetite for jumbo lending,\u201d Mr. Blackwell
\nsays.<\/p>\n","protected":false},"excerpt":{"rendered":"

Published on: Jan 27, 2016 @ 8:18 am CoreLogic – distressed sales accounted for 12% of homes sold nationally in November 2015 –\u00a0 Of total sales in November 2015, distressed sales made up 11.9% and real estate-owned (REO) sales made up 8.7% –\u00a0 Maryland remains the state with the largest share of distressed sales among […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[39],"tags":[69,170,175,44,134,174,173,171,54,172,41,61],"_links":{"self":[{"href":"http:\/\/team.simplyfreedom.ws\/index.php\/wp-json\/wp\/v2\/posts\/815"}],"collection":[{"href":"http:\/\/team.simplyfreedom.ws\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/team.simplyfreedom.ws\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/team.simplyfreedom.ws\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/team.simplyfreedom.ws\/index.php\/wp-json\/wp\/v2\/comments?post=815"}],"version-history":[{"count":2,"href":"http:\/\/team.simplyfreedom.ws\/index.php\/wp-json\/wp\/v2\/posts\/815\/revisions"}],"predecessor-version":[{"id":817,"href":"http:\/\/team.simplyfreedom.ws\/index.php\/wp-json\/wp\/v2\/posts\/815\/revisions\/817"}],"wp:attachment":[{"href":"http:\/\/team.simplyfreedom.ws\/index.php\/wp-json\/wp\/v2\/media?parent=815"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/team.simplyfreedom.ws\/index.php\/wp-json\/wp\/v2\/categories?post=815"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/team.simplyfreedom.ws\/index.php\/wp-json\/wp\/v2\/tags?post=815"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}