The Federal Reserve today reported on their weekly purchases of agency mortgage-backed securities (MBS). In the four trading days between October 8 and October 14, the Federal Reserve purchased a total of $21.42 billion agency MBS. In those four days the Federal Reserve sold a total of $5.32 billion agency MBS with almost all sales being Fannie Mae 5.5 MBS coupons. After sales, the Fed's weekly net purchases were $16.1 billion.
The goal of the Federal Reserve's agency MBS program is to provide support to mortgage and housing markets and to foster improved conditions in financial markets more generally. Only fixed-rate agency MBS securities guaranteed by Fannie Mae, Freddie Mac and Ginnie Mae are eligible assets for the program. The program includes, but is not limited to, 30-year, 20-year and 15-year securities of these issuers.
Since the inception of the program the Federal Reserve has spent $941.03 billion, or 75.28% of the allocated $1.25 trillion which is scheduled to run out in March 2010.
This is the fifth consecutive week the Fed has reduced MBS purchases. A slowdown of daily purchases is expected as the Fed begins to exit from the agency MBS purchase program. Up to this point the gradual withdrawal has not affected the performance of MBS coupons against benchmarks. This is a function of a slowdown in new production from originators.
Monday, October 19, 2009
Friday, August 7, 2009
Monday, August 3, 2009
Tuesday, July 14, 2009
Tuesday, March 31, 2009
Seattle-area prices back to July 2005 levels
Tuesday, March 31, 2009
Last updated 10:24 a.m. PT
By AUBREY COHEN
SEATTLEPI.COM STAFF
Seattle-area house prices posted record declines in January, bringing them back to levels
not seen since July 2005, according to a new report.
The typical house in King, Pierce and Snohomish Counties was worth 15 percent less in
January than it was a year earlier and 3.6 percent less than in December, according to
Standard & Poor's S&P/Case-Shiller Home Price Indices. The year-to-year drop was the
12th straight record for the index, which goes back to the start of 1990, while the monthly
decline tied the record set in December.
Seattle ranked ninth out of 20 areas S&P tracks for annual decline and 13th for monthly
drop. Area prices have fallen 19.7 percent from their July 2007 peak.
S&P's 20-city composite posted a record annual decline of 19 percent and was down 2.8
percent from December. No area posted a monthly or annual gain, while 13 had record
annual declines, 14 fell by more than 10 percent and nine were down more than 20
percent.
"There are very few bright spots that one can see in the data," David Blitzer, chairman of
S&P's Index committee, said in a statement. "Most of the nation appears to remain on a
downward path."
Patrick Newport, U.S. economist for the analysis firm IHS Global Insight, called the
report "a reminder that housing is still in deep recession."
Recent reported increases in new and existing home sales, and housing permits and starts
covered February and March, after the period in the latest S&P report, Newport noted.
"Therefore, it is possible that the market hit bottom in January and is starting to
improve."
Seattle-area prices back to July 2005 levels Page 1 of 2
http://www.seattlepi.com/printer2/index.asp?ploc=t&refer=http://www.seattlepi.com/local/404450_housi... 3/31/2009
He said Global Insight was not ready to make that call, because recent weather swings
have distorted data.
The S&P report gauges market movement by tracking repeat transactions of specific
houses, rather than depending on what happens to sell in any given month. The latest
report from the Northwest Multiple Listing Service put the median King County house
sales price at $375,000 in February -- down 12.8 percent from a year earlier, 2 percent
from January and 22 percent from the peak of $481,000 in July 2007.
S&P's middle price tier, $271,524 to $395,118, posted the smallest drops, 2.6 percent
from December and 13.5 percent from a January 2008. The values of lower-priced homes
were down 3.9 percent from December and 17.4 percent from a year earlier. Moreexpensive
houses posted monthly and annual declines of 4.2 percent and 14.8 percent,
respectively.
S&P's 20-city index is now back to levels last seen in September 2003 and has fallen 29
percent from its peak in July 2006.
The smallest declines were 4.9 percent from a year earlier, in Dallas, and 1.2 percent
from December, in Charlotte. Phoenix posted the largest annual and monthly drops, 35
percent and 5.5 percent, respectively.
The only "marginally positive" trend S&P noted was that January's year-to-year drops
were smaller than December's in Cleveland, Los Angeles and Las Vegas, while Las
Vegas was one of six areas with somewhat smaller monthly declines.
Values have dropped more than 30 percent from their peak in nine areas and more than
40 percent in five: Las Vegas, Miami, Phoenix, San Francisco and San Diego.
Aubrey Cohen can be reached at 206-448-8362 or aubreycohen@seattlepi.com.
© 1998-2009 Seattle Post-Intelligencer
Seattle-area prices back to July 2005 levels Page 2 of 2
http://
Last updated 10:24 a.m. PT
By AUBREY COHEN
SEATTLEPI.COM STAFF
Seattle-area house prices posted record declines in January, bringing them back to levels
not seen since July 2005, according to a new report.
The typical house in King, Pierce and Snohomish Counties was worth 15 percent less in
January than it was a year earlier and 3.6 percent less than in December, according to
Standard & Poor's S&P/Case-Shiller Home Price Indices. The year-to-year drop was the
12th straight record for the index, which goes back to the start of 1990, while the monthly
decline tied the record set in December.
Seattle ranked ninth out of 20 areas S&P tracks for annual decline and 13th for monthly
drop. Area prices have fallen 19.7 percent from their July 2007 peak.
S&P's 20-city composite posted a record annual decline of 19 percent and was down 2.8
percent from December. No area posted a monthly or annual gain, while 13 had record
annual declines, 14 fell by more than 10 percent and nine were down more than 20
percent.
"There are very few bright spots that one can see in the data," David Blitzer, chairman of
S&P's Index committee, said in a statement. "Most of the nation appears to remain on a
downward path."
Patrick Newport, U.S. economist for the analysis firm IHS Global Insight, called the
report "a reminder that housing is still in deep recession."
Recent reported increases in new and existing home sales, and housing permits and starts
covered February and March, after the period in the latest S&P report, Newport noted.
"Therefore, it is possible that the market hit bottom in January and is starting to
improve."
Seattle-area prices back to July 2005 levels Page 1 of 2
http://www.seattlepi.com/printer2/index.asp?ploc=t&refer=http://www.seattlepi.com/local/404450_housi... 3/31/2009
He said Global Insight was not ready to make that call, because recent weather swings
have distorted data.
The S&P report gauges market movement by tracking repeat transactions of specific
houses, rather than depending on what happens to sell in any given month. The latest
report from the Northwest Multiple Listing Service put the median King County house
sales price at $375,000 in February -- down 12.8 percent from a year earlier, 2 percent
from January and 22 percent from the peak of $481,000 in July 2007.
S&P's middle price tier, $271,524 to $395,118, posted the smallest drops, 2.6 percent
from December and 13.5 percent from a January 2008. The values of lower-priced homes
were down 3.9 percent from December and 17.4 percent from a year earlier. Moreexpensive
houses posted monthly and annual declines of 4.2 percent and 14.8 percent,
respectively.
S&P's 20-city index is now back to levels last seen in September 2003 and has fallen 29
percent from its peak in July 2006.
The smallest declines were 4.9 percent from a year earlier, in Dallas, and 1.2 percent
from December, in Charlotte. Phoenix posted the largest annual and monthly drops, 35
percent and 5.5 percent, respectively.
The only "marginally positive" trend S&P noted was that January's year-to-year drops
were smaller than December's in Cleveland, Los Angeles and Las Vegas, while Las
Vegas was one of six areas with somewhat smaller monthly declines.
Values have dropped more than 30 percent from their peak in nine areas and more than
40 percent in five: Las Vegas, Miami, Phoenix, San Francisco and San Diego.
Aubrey Cohen can be reached at 206-448-8362 or aubreycohen@seattlepi.com.
© 1998-2009 Seattle Post-Intelligencer
Seattle-area prices back to July 2005 levels Page 2 of 2
http://
Wednesday, November 19, 2008
State's Home Sales Drop Biggest in US
State's home sales drop biggest in U.S.
Median price in county is down 10%
By AUBREY COHENP-I REPORTER
Sales of existing houses dropped more in Washington than anywhere else in the nation last quarter, compared with a year earlier, according to a new report. King County's median sale price also dropped roughly 10 percent from a year earlier.
The state's sales were down 36 percent from the third quarter of 2007, the National Association of Realtors reported. The next-largest annual drops were in Vermont and Delaware, where sales fell 33 percent.
A big reason why Washington's annual drop is larger than other states' is that its decline started later, meaning other areas had much slower markets a year ago.
"Clearly it's a reflection of what had been happening in other parts of the country spreading up here," said Glenn Crellin, director of Washington State University's Washington Center for Real Estate Research, which reported similar numbers Tuesday. "It's a reflection of the fact that economic conditions have worsened in the state. Unemployment is going up. Access to credit is still very restrictive."
Statewide, sales were down 6 percent from the second quarter, putting Washington 32nd among states and Washington, D.C.
The Washington Center for Real Estate Research reported statewide sales of existing houses dipped 5 percent from the second quarter and 26 percent from a year earlier. King County sales fell 5 percent from the second quarter and 31 percent from a year earlier.
The quarterly and annual declines in King County and statewide were smaller than the drops in the second quarter, Crellin noted. "While it is premature to suggest the worst is over for the housing market, even modest favorable changes are encouraging."
King County has enough houses on the market to last 9 months at the current sales rate, Crellin reported. "This is consistent with modest price declines but nothing significant."
Most experts consider five to seven months of supply a balanced market between buyers and sellers.
The state has 10.2 months of supply, suggesting larger declines will continue, the Center for Real Estate Research said.
King County's median sale price for an existing house was $427,000 -- down roughly 10 percent from a year earlier, the center said. That's a bigger drop than the 4 percent annual decline in the second quarter and a record fall for the center's reports, which started in 1995. The statewide median was $281,500, down a record 10.4 percent from a year earlier.
The value of a typical home may well be falling faster than the median sales price, Crellin said. "Those households willing to buy in this market have more choices and opportunities to negotiate deals than in recent periods. As a result, they may be getting more house without spending more money, suggesting price depreciation on individual homes is more severe than reported here."
The price drops have made homes more affordable. The typical King County family made 77 percent of the income needed to buy a median-priced house in the third quarter, up from 74 percent in the second quarter and 65 percent a year ago, the Center for Real Estate Research said. First-time buyers typically made 43 percent of the income needed for a starter home, up from 41 percent in the previous quarter and 36 percent a year ago.
Rising interest rates offset price drops somewhat from the second to the third quarter, and King County's affordability percentage is still rather low, Crellin said. "I don't know that it has gotten high enough to make a tremendous difference."
Statewide, the typical family made 97 percent of the income needed for the median house, while first-time buyer income was at 57 percent.
Looking forward, the slow economy will hamper a housing recovery, Crellin said. "I think we're going to continue to see a soft housing market through 2009. That doesn't necessarily mean we're going to continue to see significant reductions in value, but that does mean we won't see significant increases either."
The National Association of Realtors reported that nationwide third-quarter sales of existing houses were up a seasonally adjusted 2.6 percent from the second quarter, but down 7.7 percent from a year earlier.
The median price of an existing house was lower in the second quarter than a year earlier in 120 of the 152 metropolitan areas the Realtors track. The nationwide median price was $200,500, down 9 percent from a year earlier.
The Realtors noted that foreclosure houses and short sales -- sales made to avoid an impending foreclosure -- accounted for 35 to 40 percent of transactions in the third quarter, pulling down median prices.
"A very large proportion of distressed home sales are taking place at discounted prices compared to more normal conditions a year ago," association President Charles McMillan said in a statement.
Metropolitan-area price changes ranged from a 13 percent annual increase in Elmira, N.Y., to a 39 percent drop in Riverside, Calif. Two other California metro areas, Sacramento and San Diego, posted the second- and third-largest drops, down 37 percent and 36 percent, respectively.
Such declines helped give California the second-largest quarterly sales increase, 28 percent, among states. A similar pattern occurred in No. 1 Arizona, where sales were up 28 percent, and No. 3 Nevada, up 26 percent. Nevada had the biggest annual increase, 76 percent, followed by California, up 58 percent, and Arizona, up 49 percent.
"A pattern of sharply higher sales in areas with large price declines is well-established," said Lawrence Yun, the association's chief economist. "Affordability conditions have consistently been a major factor in driving sales. Historically during recessions, buyers have responded to incentives, and it's important for government to keep that in the forefront of stimulus decisions."
Median price in county is down 10%
By AUBREY COHENP-I REPORTER
Sales of existing houses dropped more in Washington than anywhere else in the nation last quarter, compared with a year earlier, according to a new report. King County's median sale price also dropped roughly 10 percent from a year earlier.
The state's sales were down 36 percent from the third quarter of 2007, the National Association of Realtors reported. The next-largest annual drops were in Vermont and Delaware, where sales fell 33 percent.
A big reason why Washington's annual drop is larger than other states' is that its decline started later, meaning other areas had much slower markets a year ago.
"Clearly it's a reflection of what had been happening in other parts of the country spreading up here," said Glenn Crellin, director of Washington State University's Washington Center for Real Estate Research, which reported similar numbers Tuesday. "It's a reflection of the fact that economic conditions have worsened in the state. Unemployment is going up. Access to credit is still very restrictive."
Statewide, sales were down 6 percent from the second quarter, putting Washington 32nd among states and Washington, D.C.
The Washington Center for Real Estate Research reported statewide sales of existing houses dipped 5 percent from the second quarter and 26 percent from a year earlier. King County sales fell 5 percent from the second quarter and 31 percent from a year earlier.
The quarterly and annual declines in King County and statewide were smaller than the drops in the second quarter, Crellin noted. "While it is premature to suggest the worst is over for the housing market, even modest favorable changes are encouraging."
King County has enough houses on the market to last 9 months at the current sales rate, Crellin reported. "This is consistent with modest price declines but nothing significant."
Most experts consider five to seven months of supply a balanced market between buyers and sellers.
The state has 10.2 months of supply, suggesting larger declines will continue, the Center for Real Estate Research said.
King County's median sale price for an existing house was $427,000 -- down roughly 10 percent from a year earlier, the center said. That's a bigger drop than the 4 percent annual decline in the second quarter and a record fall for the center's reports, which started in 1995. The statewide median was $281,500, down a record 10.4 percent from a year earlier.
The value of a typical home may well be falling faster than the median sales price, Crellin said. "Those households willing to buy in this market have more choices and opportunities to negotiate deals than in recent periods. As a result, they may be getting more house without spending more money, suggesting price depreciation on individual homes is more severe than reported here."
The price drops have made homes more affordable. The typical King County family made 77 percent of the income needed to buy a median-priced house in the third quarter, up from 74 percent in the second quarter and 65 percent a year ago, the Center for Real Estate Research said. First-time buyers typically made 43 percent of the income needed for a starter home, up from 41 percent in the previous quarter and 36 percent a year ago.
Rising interest rates offset price drops somewhat from the second to the third quarter, and King County's affordability percentage is still rather low, Crellin said. "I don't know that it has gotten high enough to make a tremendous difference."
Statewide, the typical family made 97 percent of the income needed for the median house, while first-time buyer income was at 57 percent.
Looking forward, the slow economy will hamper a housing recovery, Crellin said. "I think we're going to continue to see a soft housing market through 2009. That doesn't necessarily mean we're going to continue to see significant reductions in value, but that does mean we won't see significant increases either."
The National Association of Realtors reported that nationwide third-quarter sales of existing houses were up a seasonally adjusted 2.6 percent from the second quarter, but down 7.7 percent from a year earlier.
The median price of an existing house was lower in the second quarter than a year earlier in 120 of the 152 metropolitan areas the Realtors track. The nationwide median price was $200,500, down 9 percent from a year earlier.
The Realtors noted that foreclosure houses and short sales -- sales made to avoid an impending foreclosure -- accounted for 35 to 40 percent of transactions in the third quarter, pulling down median prices.
"A very large proportion of distressed home sales are taking place at discounted prices compared to more normal conditions a year ago," association President Charles McMillan said in a statement.
Metropolitan-area price changes ranged from a 13 percent annual increase in Elmira, N.Y., to a 39 percent drop in Riverside, Calif. Two other California metro areas, Sacramento and San Diego, posted the second- and third-largest drops, down 37 percent and 36 percent, respectively.
Such declines helped give California the second-largest quarterly sales increase, 28 percent, among states. A similar pattern occurred in No. 1 Arizona, where sales were up 28 percent, and No. 3 Nevada, up 26 percent. Nevada had the biggest annual increase, 76 percent, followed by California, up 58 percent, and Arizona, up 49 percent.
"A pattern of sharply higher sales in areas with large price declines is well-established," said Lawrence Yun, the association's chief economist. "Affordability conditions have consistently been a major factor in driving sales. Historically during recessions, buyers have responded to incentives, and it's important for government to keep that in the forefront of stimulus decisions."
Friday, October 24, 2008
Sales of preowned homes in West soared in Sept.
According to the Associated Press, sales of existing homes in the West took a huge jump in September. As a result of continued low interest rates and dscounting of foreclosed homes, sales of existing homes reached 100,000 units across the 13 state West Region.
Sales were up nearly 43 percent from the same month last year, but declined 9.6 percent versus August's total, according to the National Association of Realtors.
With sharply discounted foreclosures making up a larger slice of overall sales, the median price in the West plunged almost 19 percent from a year ago to $253,600 - slightly higher than what the median was five years ago, the association said.
To read the entire article by ALEX VEIGA of the Associated Press click on the link http://www.forbes.com/feeds/ap/2008/10/24/ap5604091.html
Sales were up nearly 43 percent from the same month last year, but declined 9.6 percent versus August's total, according to the National Association of Realtors.
With sharply discounted foreclosures making up a larger slice of overall sales, the median price in the West plunged almost 19 percent from a year ago to $253,600 - slightly higher than what the median was five years ago, the association said.
To read the entire article by ALEX VEIGA of the Associated Press click on the link http://www.forbes.com/feeds/ap/2008/10/24/ap5604091.html
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