Tag Archive for ‘housing finance’

Home Equity Grows As The Composition Of (Fewer) Refinancings Shifts

According to the Federal Reserve Board’s first quarter of 2017 release of its Financial Accounts of the United States report, household holdings of real estate, measured on a not seasonally adjusted basis, totaled $23.526 trillion in the first quarter of 2017, $1.597 trillion higher than its level in the first quarter of 2016. Home mortgage debt outstanding, $9.813 trillion in the first… Read More ›

Household Debt Levels Recovered, Composition Shifts

According to the Federal Reserve Bank of New York report, household debt has returned to its previous peak level. Since the recession’s end, consumer installment loans have grown faster than real-estate secured debt and has been shown to be rising faster than household income as well. At the same time however, transition rates into serious delinquency are higher on consumer… Read More ›

The Distribution of Residential Construction Loans Among Banks

Smaller banks, those with assets of less than $10 billion, hold the majority of residential construction loans, according to NAHB analysis of Federal Deposit Insurance Corporation (FDIC) data. Unlike mortgages, a larger proportion of residential construction loans at FDIC-insured institutions are held by banks with assets between $100 million and $10 billion. In addition, a greater proportion of mid-sized banks… Read More ›

Mortgage Rates in January

Results from a survey administered by the Federal Housing Finance Agency (FHFA) indicate that mortgage rates rose in January 2017*. Over the month, contract rates on mortgages used to purchase single-family newly constructed homes increased by 24 basis points to 4.02 percent. Although the monthly change reported by FHFA contrasted with a report by Freddie Mac, the results of the… Read More ›

NAHB Survey: AD&C Financing Standards Continue to Ease

Builders and developers continue to report easing credit conditions for acquisition, development, and construction (AD&C) loans according to NAHB’s survey on AD&C Financing. However, the pace of easing slowed somewhat from the second quarter. In the 4th quarter of 2016, the overall net tightening index based on the AD&C survey was -7.3. The 4th quarter reading indicates slightly less easing… Read More ›

Mortgage Originations Grow in Q4

According to the Federal Reserve Bank of New York’s Household Debt and Credit Report, mortgage originations grew in the 4th quarter of 2016. Largely resulting from 4th quarter growth, origination volume in 2016 exceeded its level in 2015. This marks the second consecutive year of growth in originations. As the chart above illustrates, there was approximately $617 billion in originations… Read More ›

Standards on CRE Loans Tighten as Demand Weakens

The most recent iteration of the Federal Reserve Board’s Senior Loan Officer Opinion Survey (SLOS), which covers the fourth quarter of 2016, reports tightening of standards on multifamily residential and construction/land development loans. At the same time, demand, on net, also weakened. Previous analysis documented the tightening of credit standards, a measure of loan supply, on commercial real estate (CRE)… Read More ›

Mortgage Rates Rising

Information released by the Federal Housing Finance Agency, (FHFA) indicates that mortgage rates on purchases of newly built homes continued to increase in December 2016. After rising by 5 bps in November, contract mortgage rates increased by an additional 19 basis points in December. As of the end of 2016, the contract rate sits at 3.78 percent. The December rate… Read More ›

Mortgage Rates Climb

The Mortgage Interest Rate Survey (MIRS) conducted monthly by the Federal Housing Finance Agency (FHFA) reported that contract mortgage rates rose in November 2016. Over the month, rates on all loans increased from 3.60 percent to 3.64 percent. Contract rates on both purchases of newly built homes and purchases of existing homes climbed during the month. Rates on purchases of… Read More ›

Growth in Homeowners’ Equity Continues

According to the Federal Reserve Board’s third quarter of 2016 release of its Financial Accounts of the United States report, household holdings of real estate, measured on a not seasonally adjusted basis, totaled $22.725 trillion in the third quarter of 2016, $1.520 trillion higher than its level in the third quarter of 2015, $21.204 trillion. At the same time, home mortgage… Read More ›