Existing-Home Sales Increase Significantly, But What Does This Mean for the Housing Market?

Today’s News Synopsis:

In The News:

Bloomberg – “More First-Time Buyers Drive U.S. Home Sales to Best Since 2009” (6-22-15)

“More first-time homebuyers took the plunge in May, helping catapult U.S. sales of previously owned properties to their highest level since 2009.  Closings on existing houses, which usually occur a month or two after a contract is signed, rose 5.1 percent to a 5.35 million annualized rate, the National Association of Realtors said Monday.”

DS News – “Investors Revive Suit Against U.S. Bank in State Court Over $743 Billion Worth of RMBS” (6-22-15)

“A group of dozens of investors, led by BlackRock, Inc., have revived a lawsuit in a New York state court that was dismissed in a federal court last month, accusing U.S. Bank of failing in its duties as trustee for more than $743 billion worth of mortgage backed securities.”

Mortgage Professional America – “Originators can celebrate latest housing starts” (6-22-15)

“May home sales were greater than any previous May since RE/MAX began publishing its National Housing Report in 2008.  “Many positive factors are contributing to a strong housing market this year. Job growth and wages are slowly improving, while rents are increasing rapidly and mortgages are becoming much more accessible,” Dave Liniger, RE/MAX, CEO, chairman and co-founder said in an official release..”

Realty Trac – “How to Help a Homeowner Understand Their Foreclosure Options” (6-22-15)

“Every real estate investor knows that the success of our businesses depends on our ability to find motivated sellers who are willing to sell us their houses for less than retail price. With the recent housing downturn, it seemed like practically every market in America was flooded with short sales and distressed homeowners.”

Mortgage Professional America – “Morning Briefing: Millennial first-time property buyers return on Phoenix” (6-22-15)

“Realtors in Phoenix, AZ are reporting a return of first-time buyers especially millennials. The AZ Central reports that having shunned the commitment of a mortgage in recent years, millennials are now among the many buyers entering bidding wars for properties.”

Housing Wire – “Concerns lurk beneath the good news in May existing-home sales” (6-22-15)

“Existing-home sales increased in May to their highest pace in nearly six years, according to the National Association of Realtors, but what’s really behind the numbers and what do they mean?.”

Mortgage Professional America – “Who is best equipped to handle TRID?” (6-22-15)

“Smaller lenders are enjoying a better recovery following the housing market downturn than their big bank counterparts, and industry players are pointing to a number of reasons for the phenomena.”

DS News – “Agency First-Time Buyer Risk Index Reaches Series High” (6-22-15)

“The May 2015 First-Time Buyer Mortgage Risk Index (FBMRI) for agency loans reached a series record of 15.66 in May, an increase of half a percentage point from the previous three months and 1.1 percentage points from May 2014, according to data released Monday by the American Enterprise Institute (AEI)’s International Center on Housing Risk.”