The housing sector will get a much-needed shot in the arm and for investors, there will be many more potential buyers upon liquidation. Will easing bring us closer to another mortgage meltdown? Possibly, but I think lessons have been learned during the recession which will prevent a wholesale catastrophe as we have seen before.My opinion is that for us as real estate investors this is an excellent bit of news. And remember – get your own 30-year fixed rate mortgage as soon as you can at these rates, which likely will increase in coming years. We will discuss this and much more at our quarterly 1-Day Real Estate Expo Saturday June 14th near SFO. Please see more details and to register, click here.Looking forward to seeing you!
U.S. Backs Off Tight Mortgage Rules
In Reversal, Administration and Fannie, Freddie Regulator Push to Make More Credit Available to Boost Housing Recovery
By Nick Timiraos and Deborah Solomon
The Obama administration and federal regulators are reversing course on some of the biggest post-crisis efforts to tighten mortgage-lending standards amid concern they could snuff out the fledgling housing rebound and dent the economic recovery. Nick Timiraos reports.
WASHINGTON—The Obama administration and federal regulators are reversing course on some of the biggest post crisis efforts to tighten mortgage-lending standards amid concern they could snuff out the fledgling housing rebound and dent the economic recovery.
Click here for the rest of the article.
This movement plays right into our investment emphasis and is encouraging to see. We will discuss this trend and many more pertinent issues during our 1-Day Expo Saturday June 14th near the San Francisco Airport (click here to register.) We will have expert lectures on asset preservation, general financial planning and non-recourse IRA loans for houses. Our ICG Real Estate Investors team from the top real estate markets in the nation will be present all day providing learning tools and networking opportunities.
Below is the entire Wall Street Journal article:
In April last year, the couple rented out the condo and moved to Deerfield, a Chicago suburb. Having sold the condo a week ago, they plan to buy a home later this year. They got $14,000 more for the condo than they would have if they had sold earlier, Ms. Dorr said. “It made sense to wait,” she added.
Overall, cities are still growing slightly faster than the suburbs—a historical anomaly after decades of American migration to the burbs. Some of the growth has been fueled by younger Americans and retirees preferring city life, either for life-style reasons or to downsize their living arrangements.
Cities in metro areas greater than 1 million people grew at a 1.02% annual rate in 2012-2013, down from 1.13% in 2011-12, according to Mr. Frey’s analysis. Suburban areas, by contrast, grew at a rate of 0.96%, roughly on par with the 0.95% the prior year, Mr. Frey’s analysis shows.
The slowing growth in these urban cores and the increasing gains in the suburbs may be the first indication of a return to more traditional patterns of city-suburban growth,” said Ken Johnson, a demographer at the University of New Hampshire.
Write to Neil Shah at firstname.lastname@example.org