It's a result of interest rates. If you have $300 less in interest cost per month, that means that you can borrow more.. The bank lending ratios haven't really eased up much and most financing has been done through FHA.
W also can't forget that many homes are being bought up by cash investors with the intention to rent them out.
Hovnanian May Be The Best Buy In Housing [View article]
The market is more than able to handle a few foreclosures. That pipeline is shrinking as are the short sale situations. Home prices are going up and probably faster than people think.
MGIC's Stock Is Up 80%: How Much Higher Can It Go? [View article]
It's hard to look back and say that this stock is going to return to pre crisis highs of $70 when you have some much dilution of shares. In three years it will be a $20 stock and in five a $30 stock. Still a great return nonetheless
More on Hovnanian Enterprises (HOV -3.3%) FQ4: net loss narrows to $11.3M from $18.3M last year as revenue jumps 32.9% but comes in below forecasts. Adjusted pretax loss narrows to $20.1M from $34.3M. Deliveries, including unconsolidated joint ventures, +17.4% to 1,188 homes. Backlog +40% to $812.1M. Expects return to profitability in 2013, and that deliveries, revenues and gross margin will increase. (PR) [View news story]
HOV is on the move. They are coming back into communities they left six years ago.
After more than a 50% rise in the past few sessions, MGIC Investment (MTG) +8.4% premarket with Barclays - for 3 years having a Sell rating - turning bullish, with an upside target of $12 on the stock and $1.10 EPS in 2015. Other mortgage insurers continue to party as well: RDN +4.2%, GNW +3.4% premarket. [View news story]
It's interesting that with the dilution of shares for RDN and soon MTG that they would rally so much above book value
Real Estate Agents Flock To Zillow And Trulia [View article]
Most of the data they have is public information I can get from my local county. This is not like Costar and LoopNet who have exclusive information they have obtained about leases, cap rates, NOI, etc on the commercial real estate side. Most of this residential real estate information is already accessible on the through public sources.
Redfin is on the rise as well. Realtor.com and Homefinder are out there too. If Google sees value in this market, they will be there too one day.
Real Estate Agents Flock To Zillow And Trulia [View article]
Yeah I don't see how earnings are going to grow 10 fold for Zillow to make it a good investment today. The business model is also really easy to duplicate.
Buy MGIC Instead Of Radian's Overpriced Stock Offering [View article]
RDN will be increases shares outstanding of 133MM to 163MM roughly. The stock price is yet to adjust to this. Dilution will make the company get stronger from a capital standpoint but the upside for the common shareholder is getting knocked.
Buy MGIC Instead Of Radian's Overpriced Stock Offering [View article]
Once all of the legacy business is figured out, I would assume that the new business is going to be very profitable and probably as profitable as ever.
The FHA rate changes coming in a few months will definitely push people toward PMI. The FHA process already is too much of a hassle in my opinion and is very restrictive if you are going to buy an attached home.
More on Q4 GDP: Defense spending falls 22% - the biggest drop in 40 years - leading real federal spending -15%. State/local spending -0.7%. Personal consumption expenditures +2.2% vs. 1.6% in Q3. Nonresidential fixed investment +8.4% vs. +1.8%. Stock futures dipped and then bounced on the soft print. as traders look at calendars and realize we're halfway to 2013 Q2. (full report) [View news story]
Isn't the payroll tax just returning the the regular rate? If incomes begin to rise, doesn't that provide an offset?
Brookdale Senior Living (BKD +2.8%) gets a boost today from an upgrade to Buy on valuation at Sidoti with a $32 price target. Once all the politics have been hashed out, clarity on rate cuts and expansion of coverage due to changes in health care laws means more customers and growth long term growth prospects prospects for the health care industrty, and BKD is going to be one of its prime beneficiaries. [View news story]
Since Brookdale Senior Living is assisted living and primarily private pay, I don't see how the healthcare law is a dramatic game changer.
Lululemon Athletica Remains Hot For 2013 [View article]
Every female I know wants this apparel. It's a huge buy. This is mostly a female oriented store but does have some guy's apparel. Since we have mostly guys running institutional money, they don't get it yet. They will when they see the EPS coming in.
The U.S. Housing Bubble Is Back [View article]
W also can't forget that many homes are being bought up by cash investors with the intention to rent them out.
The U.S. Housing Bubble Is Back [View article]
Hovnanian May Be The Best Buy In Housing [View article]
MGIC's Stock Is Up 80%: How Much Higher Can It Go? [View article]
MGIC's Stock Is Up 80%: How Much Higher Can It Go? [View article]
More on Hovnanian Enterprises (HOV -3.3%) FQ4: net loss narrows to $11.3M from $18.3M last year as revenue jumps 32.9% but comes in below forecasts. Adjusted pretax loss narrows to $20.1M from $34.3M. Deliveries, including unconsolidated joint ventures, +17.4% to 1,188 homes. Backlog +40% to $812.1M. Expects return to profitability in 2013, and that deliveries, revenues and gross margin will increase. (PR) [View news story]
After more than a 50% rise in the past few sessions, MGIC Investment (MTG) +8.4% premarket with Barclays - for 3 years having a Sell rating - turning bullish, with an upside target of $12 on the stock and $1.10 EPS in 2015. Other mortgage insurers continue to party as well: RDN +4.2%, GNW +3.4% premarket. [View news story]
AIG: Out Of Rehab And Staying Sober [View article]
Real Estate Agents Flock To Zillow And Trulia [View article]
Redfin is on the rise as well. Realtor.com and Homefinder are out there too. If Google sees value in this market, they will be there too one day.
Real Estate Agents Flock To Zillow And Trulia [View article]
Buy MGIC Instead Of Radian's Overpriced Stock Offering [View article]
Buy MGIC Instead Of Radian's Overpriced Stock Offering [View article]
The FHA rate changes coming in a few months will definitely push people toward PMI. The FHA process already is too much of a hassle in my opinion and is very restrictive if you are going to buy an attached home.
More on Q4 GDP: Defense spending falls 22% - the biggest drop in 40 years - leading real federal spending -15%. State/local spending -0.7%. Personal consumption expenditures +2.2% vs. 1.6% in Q3. Nonresidential fixed investment +8.4% vs. +1.8%. Stock futures dipped and then bounced on the soft print. as traders look at calendars and realize we're halfway to 2013 Q2. (full report) [View news story]
Brookdale Senior Living (BKD +2.8%) gets a boost today from an upgrade to Buy on valuation at Sidoti with a $32 price target. Once all the politics have been hashed out, clarity on rate cuts and expansion of coverage due to changes in health care laws means more customers and growth long term growth prospects prospects for the health care industrty, and BKD is going to be one of its prime beneficiaries. [View news story]
Lululemon Athletica Remains Hot For 2013 [View article]
This is a huge buy going into 2013