1 in 5 home sellers has dropped their asking price
National Mortgage News
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In a potential signal of easing housing costs after record-setting growth, 19.1%, of sellers across the U.S. dropped prices over the four-week period ending May 22, the highest percentage since October 2019, according to Redfin.
Metropolitan areas that saw a surge of new incoming residents who drove up housing demand over the past two years are among the markets with the highest percentage of price drops in the last month. Boise, Idaho, which saw a 62% surge in housing costs over two years, led the U.S. in price reductions in April, with 41% of its sellers lowering asking prices.
In other news:
Starting June 1, mortgage companies selling loans to the government-sponsored enterprise will be able to use bank data for a 10-day pre-closing employment check as well as to verify income and assets. The move builds on a prior initiative in which Freddie began allowing mortgage companies to use bank information to check income and assets in the initial application process.
Wells Fargo fired an undisclosed number of mortgage staff for misconduct over their efforts to obtain waiver appraisals, the bank confirmed Thursday. The lender said an investigation revealed home mortgage consultants “willfully and knowingly” changed property value information provided by customers to obtain the waivers, contrary to bank policy. The waivers eliminate the extra time and cost of appraisals and were a popular choice for borrowers refinancing during last year’s record-low interest rate environment.
The Federal Housing Finance Agency issued its final rule regarding public disclosure requirements for Fannie Mae and Freddie Mac on corporate governance, risk management, capital structure and capital requirements, aligning the government-sponsored enterprises with what large banks already do. The GSEs must issue their initial public disclosure reports under this final rule in the first quarter of 2023.
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Certified Real Estate Brokerage Manager | Certified Probate & Trust Real Specialist | Consumer Protection Advocate
2 年Thoroughly predictable, anxiously anticipated, and wholeheartedly welcomed. In Silicon Valley, the months of inventory for the single-family residence (SFR) in May 2021 was 0.4, in November 2021, it was 0.2, and in April 2021, it came in at 0.7.?The pandemic and historic low-interest rates created the jaw-dropping spiking of housing prices, which I've not seen in my Realtor career.??The multiple offers and its overbidding in the late 1980s and dot-com era now look and feel quaint in comparison.??? In the nine San Francisco Bay Area Counties, February of 2022 was the only month out of the last twelve with a full month of inventory for the SFR class.?? Inventory increasing? Bring it on, I say. America is waiting.