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By Susanne Dwyer

Confidence in housing again met an all-time high in September in the Fannie Mae Home Purchase Sentiment Index® (HPSI), propelled by optimism from buyers, including renters. The HPSI overall posted 88.3 in September, 0.3 percentage points higher than the month prior.

“The biggest driver for the increase in the HPSI is the rebound in the good time to buy sentiment, which outweighed the largest drag: a sizable reduction in the net share of consumers expecting home prices to rise over the next year,” says Doug Duncan, chief economist and senior vice president at Fannie Mae. “Details in the survey showed a meaningful pickup in the good time to buy component, especially from the renter respondents. Additionally, perceptions of easing inventory helped boost the net share saying that now is a good time to buy, which is consistent with less bullish home price appreciation sentiment during the month. Overall, we believe that the devastating impacts of the hurricanes will likely weigh on home sales in coming months, posing downside risks for our forecast, which already calls for only a modest gain in home sales this year.”

The share of homebuyers surveyed for the Index who believe now is a good time to buy rose 10 percentage points to 28 percent, while the share of sellers who believe now is a good time to sell rose two percentage points to 38 percent. The share of those surveyed who believe home prices will go up fell eight percentage points to 40 percent.

Source: Fannie Mae

Suzanne De Vita is RISMedia’s online news editor. Email her your real estate news ideas at sdevita@rismedia.com.

For the latest real estate news and trends, bookmark RISMedia.com.

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From:: Real Estate News

By Susanne Dwyer

Confidence in housing again met an all-time high in September in the Fannie Mae Home Purchase Sentiment Index® (HPSI), propelled by optimism from buyers, including renters. The HPSI overall posted 88.3 in September, 0.3 percentage points higher than the month prior.

“The biggest driver for the increase in the HPSI is the rebound in the good time to buy sentiment, which outweighed the largest drag: a sizable reduction in the net share of consumers expecting home prices to rise over the next year,” says Doug Duncan, chief economist and senior vice president at Fannie Mae. “Details in the survey showed a meaningful pickup in the good time to buy component, especially from the renter respondents. Additionally, perceptions of easing inventory helped boost the net share saying that now is a good time to buy, which is consistent with less bullish home price appreciation sentiment during the month. Overall, we believe that the devastating impacts of the hurricanes will likely weigh on home sales in coming months, posing downside risks for our forecast, which already calls for only a modest gain in home sales this year.”

The share of homebuyers surveyed for the Index who believe now is a good time to buy rose 10 percentage points to 28 percent, while the share of sellers who believe now is a good time to sell rose two percentage points to 38 percent. The share of those surveyed who believe home prices will go up fell eight percentage points to 40 percent.

Source: Fannie Mae

Suzanne De Vita is RISMedia’s online news editor. Email her your real estate news ideas at sdevita@rismedia.com.

For the latest real estate news and trends, bookmark RISMedia.com.

The post Boost From Buyers: Confidence in Housing Up appeared first on RISMedia.

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From:: Finance and Economy

By Susanne Dwyer

Editor’s Note: This was originally published on RISMedia’s blog, Housecall. See what else is cookin’ now at blog.rismedia.com:

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Crowdfunding has appeared in the real estate industry in a variety of forms: house flip investing, mortgage payoff and down payment support. High fees and legality issues have made it difficult for the popular funding method to be taken seriously within U.S. real estate markets.

A new crowdfunding platform—HomeFundMe—was recently launched by GMC Financial, a privately-held mortgage banking firm. This could be a game changer, since it’s the first crowdfunding service approved by Fannie Mae and Freddie Mac.

Here’s what GMC financial says about HomeFundMe:

• No fees for using the service (Anything deposited into HomeFundMe can be used towards the buyer’s down payment.)
• Better loan terms, more buying opportunities and the possibility of getting rid of or lowering mortgage insurance
• Potential to receive a grant ranging from $1,000 to $2,500 in exchange for completing required homebuyer education or housing counseling.
• Matching donations ($2 for every $1) up to the grant limits once the counseling is completed

While over 100 people have already used the platform, Fannie Mae and Freddie Mac have only approved the service on a trial basis until June 2018. The mortgage giants are keeping a close eye on results before giving it their stamp of approval.

There are a few caveats, of course. Borrowers must first be pre-approved for a mortgage by GMC Financial in order to use the crowdfunding service, which is limited to $7,500 in gifted funds. The loan must also be a Fannie Mae- or Freddie Mac-approved loan (their 30-, 20- and 15-year fixed loans are eligible, as well). In addition, borrowers must earn less than their area’s median income in order to qualify for matching contributions/grants.

This method will force borrowers into GMC Financial’s rates and fees. Millennial and Gen Z buyers, who are most likely to use such a service because of challenges in obtaining a down payment, will not be able to shop around for the lowest rate—a huge snag that may turn off borrowers from the crowdfunding service.

While other services charge fees and may complicate loan processing, borrowers will have to compare costs, as they may be able to save by using an alternative lender.

Here are some other crowdfunding options:

• HomeFunded: 5 percent usage fee on total funds and 2.9 percent for processing each transaction
• GoFundMe: 5 percent usage fee per donation and 2.9 percent plus $0.30 for processing each transaction
• FeathertheNest: 5 percent usage fee per donation and 2.9 percent plus $0.30 for processing each transaction
• Honeyfund: No usage fee and 2.8 percent plus $0.30 for processing each transaction

Keep in mind that these services may come with additional gifting restrictions in the lending world. Most Fannie, Freddie and FHA loans only allow gifted down payment funds from family and close friends. Loan processing may also be more time consuming if using these services, and you stand the chance of being rejected by lenders.

Crowdfunding may be …read more

From:: Real Estate News

By Susanne Dwyer

Any household where kids live or even visit today probably has a couple (or dozens) of fidget spinners lying around. On Aug. 10, Consumer Product Safety Commission (CPSC) Acting Chairman Ann Marie Buerkle announced the agency was investigating some reported incidents that prompted a warning to parents and caregivers to keep fidget spinners and similarly branded toys from small children because the plastic and metal spinners can break and release small pieces that can be a choking hazard. Buerkle said there have also been reports of fires involving battery-operated fidget spinners.

She said it is key to use the charging cable that either comes with the fidget spinner or has correct connections for the device. Charging cables are not interchangeable, Buerkle warns.

Also, if a fidget spinner is marketed and is primarily intended for children “12 years of age and younger,” its manufacturer and/or retailer must certify it meets standards, including limits for phthalates, lead content, and lead in paint, including the U.S Toy Standard ASTM F963-16, and be labeled as such.

Remember:

• Keep fidget spinners away from children under 3 years of age.
• Plastic and metal spinners have small pieces (including batteries) that can be a choking hazard. Choking incidents involving children up to age 14 have been reported.
• Warn children of all ages not to put fidget spinners or small pieces in their mouths or play with the fidget spinner near their faces.

If you have battery-operated fidget spinners:

• Have working smoke alarms in your house to protect you if there is a fire;
• Be present when products with batteries are charging;
• Never charge a product with batteries overnight while you are sleeping;
• Always use the cable that came with the fidget spinner; or
• If the fidget spinner did not come with a cable, use one with the correct connections for charging; and
• Unplug your fidget spinner immediately once it is fully charged.

Buerkle urges consumers to visit the CPSC Fidget Spinner Safety Education Center for additional safety tips, and urges consumers to report fidget spinner safety incidents to CPSC at www.SaferProducts.gov.

For the latest real estate news and trends, bookmark RISMedia.com.

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From:: Real Estate News