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MBA Mortgage Application

Comments (4)
  • mickmars
    , contributor
    Comments (1323) | Send Message
     
    "The gauge of loan requests for home purchases, a leading indicator of home sales, fell 5.4 percent."

     

    This was no self-sustaining housing recovery. This was another short-term debt-fueled high based on a 3.5% 30 year mortgage.

     

    Another nail in the coffin for "Taper". Bernanke will continue bond purchases to lower these mortgage rates to 4% or below.
    21 Aug 2013, 08:18 AM Reply Like
  • Peterock
    , contributor
    Comments (2) | Send Message
     
    agreed. No why they can slow bond purchases now. Once they start there is no easy way out. Keep digging the ditch under the walls collapse...the only way.
    21 Aug 2013, 09:13 AM Reply Like
  • Yorick
    , contributor
    Comments (493) | Send Message
     
    Over half the purchases in 2012 and so far in 2013 are made with cash...lord knows the other half was as stated above, only because of the 3.5% rate, FHA no money down or first time homebuyer incentives...with rates heading to 5%, refis are done as are most of these investment sales. Multi-family will go for a while as hedgies know boomers have no savings and must sell their homes and rent til death.

     

    Flush with cash, Chinese homebuyers are flooding into the U.S. housing market, and paying top dollar.
    "The Chinese came out really huge in the past year," said Jonathan Miller of Miller Samuel, a New York-based appraiser.

     

    Top 5 countries for foreign buyers of U.S. homes
    Source: National Association of Realtors
    Country % of sales to non-U.S. buyers 2013 Median price spent
    Canada 23% $183,000
    China 12% $425,000
    Mexico 8% $156,000
    India 5% $300,000
    United Kingdom 5% $250,000
    Chinese buyers accounted for 18% of the $68.2 billion that foreigners spent on homes during the 12 months ended March 31, according to the National Association of Realtors.

     

    At a median price of $425,000, the Chinese are also buying more expensive homes than other foreign buyers, who spent a median of nearly $276,000 on U.S. homes. And nearly 70% of those pricey Chinese deals were made in all cash.

     

    Nowhere is the influx of Chinese homebuyers felt more strongly than in California, where more than half of the homes sold to foreign buyers went to Chinese nationals.
    21 Aug 2013, 10:10 AM Reply Like
  • Moon Kil Woong
    , contributor
    Comments (11015) | Send Message
     
    Well most of the spike was seasonal and people trying to lock in "good rates' in fear of higher rates. Last time they did that was what... 2007. Most likely these are the new round of suckers buying into a market downturn. Will they ever learn?
    21 Aug 2013, 03:56 PM Reply Like
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