Real-estate prices in 20 U.S. cities probably rose in September at the slowest pace in eight months, showing the latest slump in sales is destabilizing housing, economists said before a report today.

The S&P/Case-Shiller index of property values climbed 1 percent from September 2009, the smallest year-over-year gain since February, when the market began to recover following a three-year drop, according to the median forecast of 28 economists surveyed by Bloomberg News. Other reports may show consumer confidence rose and businesses expanded.

The end of a government tax credit for homebuyers and unemployment hovering near 10 percent have led to a decrease in demand, delaying a recovery in the industry that precipitated the worst recession since the 1930s. Declining home values threaten to undermine the improvement in consumer confidence that is helping boost spending and accelerate economic growth.

full story is available on Bloomberg

The goal of the government loan modification program was to slow the decline in home prices and stop foreclosures. The program is working, according to a recent release from the Obama Administration.

There are several aspects to the program that help homeowners at different stages in the process. The program is free and paid for by the federal government. The counselors are free and there are incentives for everyone involved to save the home from foreclosure.

The Home Affordable Modification Program (HAMP) was designed to help homeowners who are having trouble making their monthly payments. Since the program’s inception there have been new segments added.

Full story is available on Digital News Report

Big banks are having trouble restarting the foreclosure process after this fall’s “robo-signing” scandal, and the once booming market for foreclosed homes has been hit hard as a result.

According to ForeclosureRadar, the number of properties coming to auction in hard-hit western states — Arizona, California and Nevada — has dropped more than 30%.

In San Diego, according to broker Scott Cheng of Cheng Realty, who puts investors together with foreclosed properties, the number of auctions scheduled has fallen from 500 a day, to 300. “That part of my business has dried up,” Cheng said. “A lot of my investors have stopped looking.”

Full story is available on CNN

A large number of home buyers are refusing to even look at considering distressed properties for sale, according to a monthly survey of real estate market conditions by Campbell Mortgage Finance as prices on foreclosures that are selling continue to fall.

Four major national lenders have frozen foreclosure sales as a result of state attorney generals investigating banks and mortgage servicing company practices in all 50 U.S. states for illegally obtaining foreclosures through courthouse orders. The share of home purchases involving distressed properties declined last month, the survey determined. The Campbell poll of real estate market conditions surveys more than 3,000 real estate agents nationwide each month.

Full story is available on Housing Predictor

The foreclosure crisis still divides us into two camps. There are those who believe that foreclosing rapidly on homes subject to defaulted mortgages is vital to clearing the market. Others believe we should do everything we can to keep people in their homes, urging loan modifications to forestall foreclosures.

John Taylor, President and CEO of the National Community Reinvestment Coalition, falls solidly in the latter camp. Taylor would like to see widespread mortgage modifications that would allow homeowners in danger of defaulting to keep their homes. Taylor is on the board of directors of the Rainbow/PUSH Coalition and the Leadership Conference for Civil Rights. He has also served on the Consumer Advisory Council of the Federal Reserve Bank Board, The Fannie Mae Housing Impact Division as well as The Freddie Mac Housing Advisory Board. He is extremely passionate on why his idea is the right choice to help turn around the real estate market.

Full story is available on CNBC

LA Neighborhood Housing Services offers an opportunity for Los Angelinos facing foreclosure or seeking home ownership to get free counseling and in some cases to meet face to face with their lender. The free Fair is set for this Saturday in Inglewood and is open to all of LA County.

Foreclosure Prevention and Homeownership fairs are held in large community meeting places so that many families can be served comfortably. HELP & HOPE is the theme for our fairs – HELP families in financial distress to avoid foreclosure. Give HOPE to families who dream of purchasing a home. During the fair, families in mortgage distress can discuss their case in confidence with a HUD certified counselor and/or an attorney.  In certain instances, a family may be able to speak with their lender directly (American Home Mortgage Finance, Bank of America, Carrington, JP Morgan Chase, CitiMortgage, GMAC, HSBC, OneWest Bank, PNC Mortgage, Saxon and US Bank are confirmed to attend).

Families should be prepared for the meeting by bringing their mortgage statement(s) and monthly budget

Full story is available on CITYWATCH

Did You Know … To make a bid on a Hud Home, you must use a HUD-registered Selling Broker ?
Did You Know … Hud uses the  Hud Sales Contract form (Hud-9548) for their bidding process that is not available from ZipForms?

Our Mission at the Keller Williams Elk Grove Hud Department is to educate and support the Real Estate Community, both professionals and consumers, to make the purchase of Hud Homes available to everyone.

Everyone is welcome to this Free workshop on How to Sell a Hud Home.

Full story is available on sfgate.com

In May of 2008, interest rates for a 30-year fixed rate mortgage were hovering between 6 and 6.5 percent. Today they are averaging about 4.5 percent.

If you were going to finance a $150,000 home today, the difference in interest rates would save you approximately $2,250 to $3,000 a year.

Alternatively, this would be a monthly savings of $187 to $250 a month.

Another factor would be the difference in price.

The average selling price for a home in Payson in 2008 was $313,028. Last quarter’s average selling price was $212,423.

Full story is available on paysonroundup.com

A positive in the commercial real estate sector may be a sign of better things to come in residential housing down the road, or that’s the theory. “As rents rise and the cost of home ownership declines, owning is becoming more attractive,” notes California real estate analyst John Burns.

Apartment demand is rising, and supply has fallen to low levels. In fact, net absorption nationally increased by 84,000 units in Q3, which pushed vacancy rates down to 7.2 percent, according to Reis. Rents didn’t grow by a lot nationally, up just 0.6 percent, but in larger markets rents are making bigger gains.

“The strong demand is driven by favorable demographic trends, rising household formations and ongoing shift to rentals,” notes a report by Prudential Real Estate Investors. In fact, researchers there predict that a slew of “echo-boomers” reaching prime renter age, combined with a brighter employment picture, “should produce roughly 5 million new renter households over the next five years.” They claim there is not nearly enough supply for that, which would force rents up.

Full story is available on CNBC