Wednesday, June 8, 2011

Housing News Digest, June 8

Underwater Ratio Improves but Seconds Sinking
The number of mortgage borrowers who owe more on the loan than their home is worth decreased slightly during the first quarter, CoreLogic reports, but the firm sees a problem area among homeowners with second mortgages.

Market picks up, post tax credits
The number of homes placed under contract in the Denver area in May soared by 23 percent from May 2010, shows a report released today by independent broker Gary Bauer.

May marked the first year of 2011 that year-over-year figures were not impacted by the federal tax home buying tax credits, which required that homes be placed under contract by April 30, 2010. In May 2010, the number of homes placed under contract had plunged by 27 percent from May 2009.

Denver-area home sales up 9 percent
Compared to a year ago, the price is up 2 percent for a single-family home but down 1 percent for a condo.
“Prices aren’t down year over year as much as one would speculate looking at the increase in days on market, and I think that’s due to our low inventory helping to put a floor under prices,” said Gretchen Faber, broker manager at The Kentwood Company at Cherry Creek.

CoreLogic: Negative Equity by State and more
CoreLogic ... today released negative equity data showing that 10.9 million, or 22.7 percent, of all residential properties with a mortgage were in negative equity at the end of the first quarter of 2011, down slightly from 11.1 million, or 23.1 percent, in the fourth quarter. An additional 2.4 million borrowers had less than five percent equity, referred to as near-negative equity, in the first quarter.

Delinquency rate on CMBS loans reaches 12-year high
The delinquency rate on commercial mortgage-backed securities reached a 12-year high in the first three months of 2011, the Mortgage Bankers Association said Wednesday