It sounds like the next federal incentive program — instead of offering taxpayer funds for new car purchases in exchange for that old gas guzzler, this one promises cash for those inefficient, outdated and nonperforming mortgage loans.
There’s only one, small difference: This cash is not from the government. And neither is the program.
American Homeowner Preservation (AHP) is coining a phrase from recent federal stimulus efforts with its “Cash for Clunkers Mortgages” promotion.
Cincinnati-based AHP began as a non-profit in 2007, pairing distressed borrowers with investors. It became a for-profit in 2009 and facilitates residential property short sales and leases the home with the option to sell back to the previous owner of the property.
In the mortgage “Cash for Clunkers”... more»
Investor cash positions are at the lowest level since January 2004 as optimism on the prospect for economic recovery continues to mount, according to a survey of fund managers in a Bank of America Merrill Lynch global research report.
While 65% of respondents believe a global recession is unlikely in the next 12 months, an increase from 47% a month ago, others warn the threat of a double-dip recession still looms.
The Mortgage Bankers Association (MBA) believes economic growth will continue in 2009, but will slow during the first half of 2010. MBA projects unemployment will peak at 10.2% mid-year, before moderating on the heels of sustainable growth during H210.
The fund managers surveyed by BofA Merrill Lynch reported an increase in movement of cash into equities, noting an increase in risk... more»
Sure it would make for a long hike up 60+ stories if the elevator were out of service, but the view makes up for it. Nestled in a luxury condominium atop one of New York’s most famous — perhaps infamous — pieces of commercial real estate, any buyer could easily forget that inconvenience.
And all for a minimum $1,000 per square foot.
The former headquarters of American International Group (AIG: 35.10 -1.57%) — yes, that 70 Pine Street — will soon be renovated into high-end condos. A post at the Wall Street Journal has the details.
The developer, Young Woo, bought the building for $150m, or $105 per square foot, and expects to sell the finished condos for at least $1,000 but as much as $2,000 per square foot.
The building dates back to... more»
A report by the National Consumer Law Center (NCLC) is out this month, warning of the dangers associated with reverse mortgages.
It marks the latest paper on reverse mortgages since the Office of the Comptroller of the Currency (OCC) in late September issued a consumer advisory warning consumers 62 years of age or older of the drawbacks and dangers associated with taking out a reverse mortgage — and outlining the benefits of these “complex loans.”
Authors of the NCLC report, however, gave less space to explaining the benefits of reverse mortgages and devoted more time to data on reverse mortgage volume by leading lenders.
The report, called ‘Subprime Revisited: How the Rise of the Reverse Mortgage Lending Industry Puts Older Homeowners at Risk,’ presents reverse mortgages... more»
Recognize the glass wall of that house listing? Maybe the all-around view of lush foliage and green trees?
Add a classic Ferrari and a young Matthew Broderick to the picture, and you may recognize the property as the famous house featured in “Ferris Bueller’s Day Off.” Yes, the very house where Bueller’s friend, Cameron Frye, accidentally sent his father’s Ferrari crashing through the full-length windows.
The four-bedroom, four-bath house — 370 Beech Street in Highland Park, Ill. — is on the market for sale. All it will cost you is $2.3m, according to the listing at Realtor.com. And that’s without a Ferrari.
It’s been on the market for a few months, and multiple calls to the listing agent were not returned.
Why the house has yet to sell... more»
The Office of the Comptroller of the Currency (OCC) issued a consumer advisory warning consumers 62 years of age or older of the drawbacks and dangers associated with taking out a reverse mortgage — and outlining the benefits of these “complex loans.”
The bulletin comes at a time when getting back to “plain vanilla” financial products continues to be a huge topic of discussion, especially among lawmakers conducting hearings over financial regulatory reform. The House Financial Services Committee this week is hearing testimony regarding the Administration’s proposed reforms, including a consumer financial protection agency that may regulate the types of loans banks can sell to consumers. Committee chairman Barney Frank (D-Mass.) has opposed the “plain... more»
It’s a small homebuyers incentive, after all.
This weekend only, anyone who buys a custom built home from KB Home Mortgage, a subsidiary of Bank of America (BAC: 16.09 +0.06%) will receive as part of the package a “Walt Disney Dream Room.”
The construction company will agree to deck out a fully-licensed Disney-themed room in the home with either a calming green Classic Pooh theme, a royal Cinderella ‘palace’, a chic Cars room or a – gulp – Hannah Montana Hangout so a kid can “take a break from the spotlight.”
Sorry, Little Mermaid fans, there’s just no room under the sea for other dream room designs. However, even if a potential buyer who visits a KB Home over the weekend can’t decide right away, they can still pick... more»
IKEA is braving a new frontier in best practices, offering free furniture and “design expertise” to the buyers of New York City’s skinniest house.
The residence at 75 1/2 Bedford in Greenwich Village, squished between 75 and 77 Bedford St., presents a definite design challenge for the eventual buyers. With an interior only 8.5 feet wide (the exterior measures a deceptive 9.5 feet) and 42 feet long, the house bears a history of maximized space use — dating back to its establishment in 1873 — including a custom stove with a single row of four burners, built to fit, compared with the usual two rows of two.
The townhouse with its 990 square feet and three floors (plus a basement) was originally listed at $2.75m in late August, according to an article at NYDailyNews.com.
Despite... more»
It’s the latest innovation during the US foreclosure crisis: the bank branch robbery.
A 69 year-old Californian homeowner allegedly robbed a Bank of America (BAC: 16.09 +0.06%) branch in order to pay off his mortgage at its 17% interest rate.
An interesting post at RightJuris.com has the scoop.
The man claimed to need $50,000 to save his home from foreclosure but left the bank with $100,000, according to the post. He would not get far enough to make the payment, however.
The man later said he wanted to “get the money and get the hell out of there,” but he got a lot more when authorities arrested him.
“I don’t do this kind of [stuff]. I was stupid,” he said in a post-arrest interview.
A clip of the interview is available to watch... more»
ACORN Housing released a video on YouTube, in which an employee from the housing counseling agency’s Philadelphia office describes an alleged encounter with filmmaker James O’Keefe.
ACORN — The Association of Community Organizers for Reform Now — has come under fire after O’Keefe released a series of online videos he said he filmed using undercover cameras while posing as a pimp. The videos appear to show ACORN Housing employees telling O’Keefe and an associate how to falsify Internal Revenue Service (IRS) documents and obtain a mortgage to open a brothel.
ACORN Housing’s video response comes near the end of a week of press coverage. Earlier this week, the Senate voted to block ACORN and its subsidiaries from receiving federal funds in a pending appropriations bill.
In the... more»
