Pending Home Sales in California Increase for First Time in Two Years

Today’s News Synopsis:

Existing home sales were low this month compared to January, although they are expected to be up from last year.  At the same time, pending home sales increased 2.6%, having increased for the first time in two years.  Mel Watt, director of FHFA will be speaking before the House Committee tomorrow regarding future plans for the GSEs and where they currently stand.

In The News:

Housing Wire – “January existing home sales come in flat compared to December” (1-26-15)

“Auction.com projects that existing home sales for January will fall between seasonally adjusted annual rates 4.9-5.21 million annual sales, with a targeted number of 5.06 million.”

Bloomberg – “CoreLogic Hires Freddie Mac’s Nothaft as Chief Economist” (1-26-15)

“U.S. home prices rose more than economists estimated in November, a sign job growth is helping to boost housing demand.  Prices climbed 0.8 percent on a seasonally adjusted basis from October, the Federal Housing Finance Agency said in a report from Washington.”

NAHB – “Millennials Seek Smaller Houses, But Won’t Sacrifice Details, Panelists Say” (1-26-15)

“As Millennials begin to enter the home buying market in larger numbers, homes will get a little smaller, laundry rooms will be essential, and home technology will become increasingly prevalent, said panelists during an International Builders’ Show press conference on home trends and Millennials’ home preferences held last week.”

Housing Wire – “Moody’s: FHA premium cut a credit positive for HFAs” (1-26-15)

“Last week the White House directed the Federal Housing Administration to reduce annual mortgage insurance premiums by 50 basis points, from 1.35% to 0.85%, and now Moody’s Investors Service says it will be a positive for Housing Finance Agencies.”

Mortgage Professional America – “California pending home sales see first annual increase in nearly two years” (1-26-15)

“Pending home sales in California reported higher on a year-over-year basis for the first time since January 2013, according the California Association of Realtors (CAR).”

Housing Wire – “FHFA Director Watt goes before House committee Tuesday” (1-26-15)

“Federal Housing Finance Agency Director Mel Watt will appear Tuesday morning before the House Financial Services Committee entitled ‘Sustainable Housing Finance’.”

Mortgage Professional America – “FHA premium change begins today, here’s what to expect” (1-26-15)

“The 50 basis point reduction for Federal Housing Administration (FHA) mortgage insurance premiums begins today, and the agency expects the high volume of applications will slow down processing times.”