The Federal Reserve Bank of Richmond is conducting a survey of Home Builders views and opinions on local housing markets. You can participate by completing the survey linked below.
Click here to participate in the Federal Reserve's survey of Home Builders.
The Home Builders Association of Greenville are your neighbors and community leaders providing education and support for building industry professionals. We create jobs, encourage homeownership, and promote responsible growth throughout the upstate of South Carolina.
Showing posts with label Federal Reserve. Show all posts
Showing posts with label Federal Reserve. Show all posts
Monday, April 9, 2012
Tuesday, December 27, 2011
Federal Reserve: South Carolina and Michigan have the best economic outlooks
According to a report by the Federal Reserve Bank of Philadelphia, South Carolina is one of two states that are expected to a growth rate of 4.5 percent or better in the Fed's coincident index, or gross state product, in the first six months of 2012.
Both South Carolina and Michigan top the Fed's list of prospects for rapid growth in the next few months. Both state's have experienced significant improvements in employment.
The Greenville News reported on this story over the weekend. Read their report at greenvilleonline.com by clicking here.
Both South Carolina and Michigan top the Fed's list of prospects for rapid growth in the next few months. Both state's have experienced significant improvements in employment.
The Greenville News reported on this story over the weekend. Read their report at greenvilleonline.com by clicking here.
Tuesday, December 13, 2011
Federal Reserve: Speculative Investors Played a Larger Role in Housing Bubble than Previously Thought
A new federal report shows that speculative real estate investors played a larger role than originally thought in driving the housing bubble that led to record foreclosures and sent economies plummeting in Nevada, California, Arizona, Florida and other states. Researchers with the Federal Reserve Bank of New York found that investors who used low-down-payment, subprime credit to purchase multiple residential properties helped inflate home prices and are largely to blame for the recession.
Friday, December 9, 2011
IBS: Special Session with Fed Chairman Ben Bernake Planned
Attendees of the 2012 International Builders Show (IBS) will have the exclusive opportunity to hear Federal Reserve Chairman Ben Bernanke deliver remarks during a special session at the National Association of Home Builders’ (NAHB) board of directors meeting on Friday, February 10 at 12:30 pm.
The event, held in the Valencia Ballroom of the Orange County Convention Center, will have limited general seating available on a first-come, first-served basis.
WHEN:
Friday, Feb. 10, 2012
2:30 p.m. ET
WHERE:
Orange County Convention Center
Valencia Ballroom
Orlando, Fla.
TO ATTEND:
The special session with Chairman Bernanke is open to all registered attendees of the 2012 International Builders Show; however seating is limited and available on a first-come, first-served basis. To register for IBS, please visit www.BuildersShow.com/Register.
The event, held in the Valencia Ballroom of the Orange County Convention Center, will have limited general seating available on a first-come, first-served basis.
WHEN:
Friday, Feb. 10, 2012
2:30 p.m. ET
WHERE:
Orange County Convention Center
Valencia Ballroom
Orlando, Fla.
TO ATTEND:
The special session with Chairman Bernanke is open to all registered attendees of the 2012 International Builders Show; however seating is limited and available on a first-come, first-served basis. To register for IBS, please visit www.BuildersShow.com/Register.
Monday, April 4, 2011
Proposed 20 Percent Minimum Down Rule Would Severely Disrupt the Housing Market
A plan unveiled by the Federal Deposit Insurance Corporation (FDIC) and the Federal Reserve on March 29 to require a minimum 20 percent down payment for "qualified residential mortgages" would disrupt the fragile housing market and jeopardize the struggling economic recovery, according to NAHB.
According to FDIC chairman Sheila Bair, the 20 percent down payment requirement applies only to "that segment that is exempt from risk retention." In other words, mortgage loans for which lenders do not retain at least 5 percent of the loan will require a 20 percent down payment.
Click here to read the complete article in Nation's Building News.
Click here to read the proposal by FDIC and the Federal Reserve.
That Washington Post wrote in support of the proposal on its Opinion Page on March 31.
Click here to read the Post's editorial.
Let the eat cake: click here to read a rebuttal to the Post's editorial.
According to FDIC chairman Sheila Bair, the 20 percent down payment requirement applies only to "that segment that is exempt from risk retention." In other words, mortgage loans for which lenders do not retain at least 5 percent of the loan will require a 20 percent down payment.
Click here to read the complete article in Nation's Building News.
Click here to read the proposal by FDIC and the Federal Reserve.
That Washington Post wrote in support of the proposal on its Opinion Page on March 31.
Click here to read the Post's editorial.
Let the eat cake: click here to read a rebuttal to the Post's editorial.
Wednesday, December 1, 2010
Bank Survey Reports Expectations of Tightened Lending Through 2012
The Federal Reserve’s October 2010 Senior Loan Officer Opinion Survey on Bank Lending Practices reports continued tight lending conditions by banks to businesses and households. The survey is based on responses from 57 domestic banks and 22 U.S. branches of foreign banks.
Despite reporting that some large banks have eased lending terms over the past three months, a special question in the October survey found that lending conditions would remain tight for the foreseeable future. In particular, the majority of respondents involved with residential and commercial real estate lending indicated they would not return to long-term norms of lending practices until after 2012.
On the other hand, 40 percent of respondents indicated that lending for mortgages and credit cards would return to long-term norms by the end of 2012.
With respect to residential real estate lending, the Fed reported that small fractions of banks reported tightened standards on prime and nontraditional mortgage loans.
Interestingly, the tightening was mostly reported by smaller banks, with larger banks leaving standards about unchanged. However, both small and large banks reported tightening standards for non-traditional mortgage loans. All banks reported small declines in demand for loans, likely related to the end of the home buyer tax credit.
The headline result of some easing of lending standards by big banks stands in contrast to recent NAHB survey data, which indicates continued tightening of lending to home builders.
Read the entire report at www.FederalReserve.gov by clicking here.
Despite reporting that some large banks have eased lending terms over the past three months, a special question in the October survey found that lending conditions would remain tight for the foreseeable future. In particular, the majority of respondents involved with residential and commercial real estate lending indicated they would not return to long-term norms of lending practices until after 2012.
On the other hand, 40 percent of respondents indicated that lending for mortgages and credit cards would return to long-term norms by the end of 2012.
With respect to residential real estate lending, the Fed reported that small fractions of banks reported tightened standards on prime and nontraditional mortgage loans.
Interestingly, the tightening was mostly reported by smaller banks, with larger banks leaving standards about unchanged. However, both small and large banks reported tightening standards for non-traditional mortgage loans. All banks reported small declines in demand for loans, likely related to the end of the home buyer tax credit.
The headline result of some easing of lending standards by big banks stands in contrast to recent NAHB survey data, which indicates continued tightening of lending to home builders.
Read the entire report at www.FederalReserve.gov by clicking here.
Friday, October 29, 2010
New Appraisal Guidance Issued by Federal Reserve
The Federal Reserve issed an interim rule on appraisals this month that NAHB says is a welcome step in clarifying the home valuation process. The National Association of Home Builders (NAHB) has sought appraisal guidance that provides transparency in the appraisal process with sufficient flexibility to address the unique aspects of valuing new homes. NAHB will work with the Federal Reserve and other appraisal stakeholders to ensure the final rule fully achieves that outcome.
"The interim rule makes it clear that home builders and others can ask an appraiser to consider additional information about a property, including information about additional comparable properties," said Joe Robson, NAHB's Immediate Past Chairman and a home builder from Tulsa, Okla. "That's critical to our members because in far too many cases we're seeing appraisals based on inappropriate comparables." Robson has been leading NAHB's push for sound appraisal practices.
The Federal Reserve unveiled the interim rule on Oct. 18 and the rule will take effect 60 days after it is published in the Federal Register, with the Fed accepting comments on the interim rule during this period. Compliance is voluntary until April 1, 2011. The Fed's action was required by the Dodd-Frank Wall Street Reform and Consumer Protection Act, which was signed into law on July 21, 2010.
"Many appraisers do not understand the impact of new code requirements, new green building practices and other aspects of new construction that add value to a home," Robson said. "It is particularly important that home builders be allowed to provide appraisers with information to assist in appraising new construction.
"Accurate appraisals are critical to the residential construction industry because flawed appraisals can jeopardize sound projects," Robson said. "In the current economic climate it is already difficult to find financing for acquisition, development and construction, or AD&C. One appraisal that doesn't represent the true value of a property can start a chain of events that can put a builder out of business."
The Federal Reserve's interim rule also includes conflict-of-interest guidance, which prohibits loan officers and mortgage brokers from selecting appraisers. It also mandates the reporting of negligent appraisals and appraiser misconduct to the appropriate state appraiser licensing authorities and requires those seeking an appraisal to pay appraisers at a rate that is reasonable and customary in the geographic market where the property is located and that reflects the difficulty of the assignment.
"We think it's very important that the compensation standards attract the expertise needed for complex appraisal assignments, such as those involving new construction," Robson said.
"Builders, developers, lenders, appraisers and other stakeholders need a better understanding of what they can and cannot do" Robson said. "This interim rule offers much needed clarity, and NAHB will be offering comments in an effort to make sure the final rule provides guidance that recognizes all of the issues involved in appraisals of new homes and restores confidence in the appraisal process."
"The interim rule makes it clear that home builders and others can ask an appraiser to consider additional information about a property, including information about additional comparable properties," said Joe Robson, NAHB's Immediate Past Chairman and a home builder from Tulsa, Okla. "That's critical to our members because in far too many cases we're seeing appraisals based on inappropriate comparables." Robson has been leading NAHB's push for sound appraisal practices.
The Federal Reserve unveiled the interim rule on Oct. 18 and the rule will take effect 60 days after it is published in the Federal Register, with the Fed accepting comments on the interim rule during this period. Compliance is voluntary until April 1, 2011. The Fed's action was required by the Dodd-Frank Wall Street Reform and Consumer Protection Act, which was signed into law on July 21, 2010.
"Many appraisers do not understand the impact of new code requirements, new green building practices and other aspects of new construction that add value to a home," Robson said. "It is particularly important that home builders be allowed to provide appraisers with information to assist in appraising new construction.
"Accurate appraisals are critical to the residential construction industry because flawed appraisals can jeopardize sound projects," Robson said. "In the current economic climate it is already difficult to find financing for acquisition, development and construction, or AD&C. One appraisal that doesn't represent the true value of a property can start a chain of events that can put a builder out of business."
The Federal Reserve's interim rule also includes conflict-of-interest guidance, which prohibits loan officers and mortgage brokers from selecting appraisers. It also mandates the reporting of negligent appraisals and appraiser misconduct to the appropriate state appraiser licensing authorities and requires those seeking an appraisal to pay appraisers at a rate that is reasonable and customary in the geographic market where the property is located and that reflects the difficulty of the assignment.
"We think it's very important that the compensation standards attract the expertise needed for complex appraisal assignments, such as those involving new construction," Robson said.
"Builders, developers, lenders, appraisers and other stakeholders need a better understanding of what they can and cannot do" Robson said. "This interim rule offers much needed clarity, and NAHB will be offering comments in an effort to make sure the final rule provides guidance that recognizes all of the issues involved in appraisals of new homes and restores confidence in the appraisal process."
Thursday, October 21, 2010
Former Fed Vice Chair Sees Stronger Growth Coming
From Nation's Building News:
Economic growth will pick up next year and even more after that as headwinds standing in the way of a stronger recovery begin to abate, former Federal Reserve Vice Chairman Donald Kohn told the Urban Land Institute in Washington, D.C. on October 15.
Painting a picture that was not entirely rosy, "we are in for a slow climb out of a deep hole with inflation remaining low for some time into the future," said Kohn, who is currently a fellow at the Brookings Institution.
Among the challenges still facing the economy, he said that lending requirements remain stringent and borrowing is very tight for small businesses and households; it will still take time to work through the overhang of housing from foreclosures, short sales and the shadow inventory; and the economies of major industrial trading partners of the U.S. are still hurting.
Read the entire article in Nation's Building News by clicking here.
Economic growth will pick up next year and even more after that as headwinds standing in the way of a stronger recovery begin to abate, former Federal Reserve Vice Chairman Donald Kohn told the Urban Land Institute in Washington, D.C. on October 15.
Painting a picture that was not entirely rosy, "we are in for a slow climb out of a deep hole with inflation remaining low for some time into the future," said Kohn, who is currently a fellow at the Brookings Institution.
Among the challenges still facing the economy, he said that lending requirements remain stringent and borrowing is very tight for small businesses and households; it will still take time to work through the overhang of housing from foreclosures, short sales and the shadow inventory; and the economies of major industrial trading partners of the U.S. are still hurting.
Read the entire article in Nation's Building News by clicking here.
Friday, September 17, 2010
NAHB Reaches Out to Federal Reserve, Fannie Mae
NAHB's Senior Officers and a cross-section of our members seized the opportunity this week to bring the builder's viewpoint regarding ongoing challenges in the housing market to two of the nation's most important policy-making organizations.
In a meeting on September 16with Fed Chairman Ben Bernanke and other top officials at the Federal Reserve Board, our members shared their first-hand accounts of the experiences they have had in trying to obtain financing for viable projects. They also voiced concerns about the impact that this problem continues to have on the fragile housing and economic recovery. The discussion was solely an information opportunity in which no promises were expected or received, but was nonetheless an important part of NAHB's outreach to every possible regulator, bank agency, and legislator who has the ability to help restore the flow of credit to our industry.
On the same day, NAHB Senior Officers met with leadership and staff of Fannie Mae to discuss a variety of topics, including appraisals, NAHB’s position on GSE reform, single- and multi-family mortgage credit availability, the housing outlook, and builder problems in obtaining AD&C financing. Fannie Mae's representatives expressed interest in working further with NAHB to develop improved appraisal and financing treatment for green building, and in hearing from NAHB multi-family members about financing challenges in different housing markets. Fannie Mae and NAHB agreed to continue to share information on emerging housing and housing finance issues.
NAHB members who attend this week's Fall Board of Directors meeting in New York will get an update on these important discussions, as well as on upcoming meetings with other key stakeholders in housing finance.
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