What Is LLPA | Loan-Level Pricing Adjustments and how does it effect you when you obtain a home mortgage? A loan-level pricing adjustment (LLPA) is a risk-based fee assessed to mortgage borrowers using a conventional mortgage. It varies by borrower, based on loan traits such as: loan-to-value (LTV), credit score, occupancy type, Purchase Rate and term refinance or Cash Out refinance and number of units in a home1, 2, 3, 4 units. Borrowers often pay LLPAs in the form of … [Read more...]
NAHB: Builder Confidence Dips on Hurricane Damage
Home builders had less confidence in housing market conditions in September. In the aftermath of Hurricanes Harvey and Irma, builders worried that ongoing shortages of construction labor and materials would worsen. NAHB Chairman Granger MacDonald said that concerns over labor and building materials were "intensified," but said that builder confidence was expected to return to high readings once rebuilding is underway. The National Association of Home Builders Housing Market Index dropped … [Read more...]
New Home Construction Seen As A Possible Solution To Pent Up Demand For Homes
Builder confidence in markets for new homes fell three points in February to a reading of 58. January's reading was revised upward to 61. Builders have repeatedly expressed concerns shortages of labor and lots for development, but continue to express confidence in future sales conditions. David Crowe, National Association of Home Builder's (NAHB) chief economist, said that builders are watching slowing economic trends, but also cited low mortgage rates, improving labor markets and pent-up demand … [Read more...]
Warmer Weather Brings In The Buyers, Is There Inventory?
After three consecutive months of decline, the S&P Case-Shiller 20-City Composite Index remained nearly unchanged in February. Year-over-year home prices rose by 12.90 percent in February as compared to 13.20 percent in January. 20 Percent Below Their 2006 Pre-recession Peak Analysts note that in spite of recent slowdowns in home prices, the year-over-year rates of home price growth remain close to peak price growth attained in 2006. National home prices remain approximately 20 percent below … [Read more...]
Existing Home Sales Show Improvement In The Northeast And Midwest Region
March sales of existing homes exceeded expectations at a seasonally adjusted annual rate of 4.59 million sales according to the NAR. Analysts projected that existing home sales would reach 4.55 million based on February's reading of 4.50 million sales. The pace of existing home sales declined by 0.20 percent as compared to February's reading. Headwinds Cause Slower Pace Of Home Sales Analysts cited poor winter weather and rapidly rising home prices as factors that kept buyers away, although the … [Read more...]
