Market Matters

Refi Activity Runs Out of Steam Source: The Wall Street Journal  In comparison to last year, applications to refinance a mortgage have decreased by 57 percent. Since mortgage rates started rising last spring, refinance activity fell sharply, particularly in the second half of 2013. Read the full story

One Of Fed's First Quantitative Easers: 'I'm Sorry, America' Source: NPR Andrew Huszar, who oversaw the purchase of $1.25 trillion worth of mortgage bonds in a year, argues in an op-ed for the Wall Street Journal that the first round of quantitative easing did little to make credit any more accessible for the average American. Huszar calls the program the "greatest backdoor Wall Street bailout of all time.” Read the full story

Investors pitch to take over much of Fannie and Freddie  Source: Financial Times   An investor group comprised of hedge funds and private equity companies will put forth a proposal to take over large parts of Fannie Mae and Freddie Mac. The investors want to restructure and reform these agencies using private capital, and they hold more than half the $34.6 billion of preferred shares in Fannie and Freddie. Read the full story

What buyers and sellers need to know about the end-of-year housing market Source: The Washington Post Dynamics of the real estate market are always changing, so understanding your housing and financial position, and where you stand in the buying/selling cycle, will allow you to make the best decisions. Read the full story

Why the Nation’s Housing Market Needs Mel Watt Source: Center for American Progress Rep. Mel Watt (D-NC) is President Barack Obama’s nominee to lead the Federal Housing Finance Agency (FHFA), but Senate Republicans recently blocked a vote to confirm Watt for the position. Two policy analysts argue what’s at stake if the Senate stalls on the vote and housing challenges linger. Read the full story

Housing market another battlefield for U.S. Vets Source: The San Francisco Chronicle New data reveals that our nation’s veterans face unique challenges when it comes to achieving homeownership. When members of our military leave active duty and return to the United States, in most cases they do not return to a home they own. In fact, only 18 percent of veterans return to a home they already own at the end of their service, and only one-third of military families report actually looking for a home within a year of return from active duty, according to the CENTURY 21 Harris poll. Making sense of the story As military service members return from duty and transition to civilian life, 93 percent of veterans indicate that homeownership is important to them. The top road blocks for veterans are the price of homes (36 percent); an inability to come up with a down payment (31 percent); and personal savings (28 percent). Physical or mental health problems create further disadvantages for veterans when it comes to finding employment and a home. It is projected that one in every four homeless persons in this country is a veteran. According to January 2012 figures, there were over 62,000 homeless veterans. The unemployment rate among veterans is 16 percent, which is more than double the nation’s average unemployment rate. Seventy-five percent say that owning a home is one of the most important things for a soldier returning home. Among the reasons that becoming a homeowner is so significant to veterans are a desire to have their own residence (73 percent), to establish a household (43 percent), and to achieve financial security (36 percent). In addition, the majority of veterans (88 percent) indicated that owning a home makes them feel safer. Read the full story