No matter how foggy the haze is, economists typically dust off their crystal balls in December. However economic forecasts too often involve driving by looking in a rear-view mirror. Because housing is a unique expenditure--combining elements of investment and a service--it depends on a variety of elements. The biggest question mark over the housing picture, though, is the fiscal cliff and the on-again, off-again negotiations to avoid a national financial calamity.
Read More »Investment Bank Predicts 2013 Will Resemble 2012
Keefe, Bruyette & Woods (KBW), a boutique investment bank and broker-dealer, is predicting "more of the same" for the mortgage market in 2013.
Read More »Mortgage Applications Tumble as Refis Lose Strength
A sharp decline in refinance applications brought overall mortgage application activity down for the week ending December 14, according to the Mortgage Bankers Association.
Read More »Mortgage Rates Hover as Fed Extends Bond-Buying Program
According to Freddie Mac's Primary Mortgage Market Survey, the 30-year fixed-rate mortgage (FRM) interest rate averaged 3.32 percent (0.7 point) for the week ending December 13, down slightly from 3.34 percent the previous week. The 15-year FRM this week averaged 2.66 percent (0.6 point), down week-to-week from 2.67 percent. Rates measured by Bankrate's weekly survey were even more sluggish. The 30-year fixed averaged 3.52 percent, a slight increase from last week's low of 3.50 percent.
Read More »FHLB of New York Announces Results of Board Elections
Releasing the results of the financial institution's board elections, the Federal Home Loan Bank of New York has announced updates to its directorship. Through the bank's electoral process, appointees were named for two independent director positions and two member director positions, from New Jersey and New York respectively.
Read More »FOMC Ties Fed Funds to Unemployment Rate
Despite recent improvements in the unemployment rate and housing, the Federal Open Market Committee (FOMC) voted Wednesday to continue its program of purchasing $40 million a month of mortgage backed securities and to maintain the target Fed Funds rate at 0 to 0.25 percent. The FOMC vote was 11-1 with only Richmond Fed President Jeffery M. Lacker dissenting.
Read More »Treasury Sheds Last AIG Shares
The Treasury announced Tuesday it will sell the remainder of its shares of American International Group, Inc. common stock. The move brings Treasury's stake in the company to an end. Together, Treasury and the Federal Reserve invested $182.3 billion to stabilize the failing insurance behemoth in September 2008 at the start of the financial crisis. In addition to recouping the total $182.3 billion, the Treasury incurred a positive return of $5 billion, while the Federal Reserve received a positive return of $17.7 billion.
Read More »Freddie Mac Forecasts Future of Housing Growth
Add Freddie Mac to the list of companies forecasting great things in the 2013 housing market.
Read More »New York Fed Unveils Tool to Track Recovery in Tri-State Area
The Federal Reserve Bank of New York announced the launch of a tool designed to provide data on the housing recovery in the region.
Read More »President Appoints New FDIC Chairs
President Obama has appointed two new chairs to lead the FDIC's board of directors, the agency announced. Martin J. Gruenberg is the board's new chairman, and Thomas M. Hoenig is the vice chairman.
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