Wow big news from Fannie Mae. This could be a political move as we go into the election if mortgage applications have been drying up as of late. Fannie Mae announced this week that it would expand its HomeReady program, which includes 3 percent down payment loans. It is extending the 3 percent down mortgage to eligible refinancers who have loans already owned by Fannie Mae. Fannie Mae’s previous maximum allowable loan-to-value ratio for refinancers was 95 percent. Now, it will be up to 97 percent, under the new guidelines. Read more here—>
Renters may soon get some relief. In the third quarter, apartment rents in some of the most expensive markets in the U.S. showed a decline. This marks a notable turn from the six-year boom streak occurring in the rental market, according to a new report released by MPF Research, an apartment tracker firm. MPF says a flood of new units hitting the market is one main reason behind the slowing of rents in some high-priced markets. http://realtormag.realtor.org/daily-news/2016/10/06/rental-market-shows-signs-cooling#sf38067327
Less and less California homeowners have considered selling. A clear sign they have become so risk-averse it could be months if not longer before housing inventories improve.