| ISSUE UPDATES |
HUD Secretary Appointee Brings Experience, Insight |
| NAR President Dick Gaylord praised President Bush’s selection of Steve Preston to take over as secretary of the U.S. Department of Housing and Urban Development. Preston headed up the U.S. Small Business Administration for the past two years and is a former CEO of ServiceMaster. “He will do a fine job representing HUD and helping the nation navigate through the housing downturn and the mortgage crisis,” Gaylord said in a statement. Alphonso Jackson, who served as HUD secretary during much of President Bush’s second term, resigned earlier this month. |
FHASecure Enhancements Announced |
| FHA will have more flexibility to insure replacement mortgages for borrowers struggling to stay current in their subprime mortgage in program changes announced by President Bush. Under some of the new criteria, FHA can insure replacement loans of lenders who voluntarily write down the outstanding subprime mortgage principal balances to a 97 percent or 90 percent LTV ratio, depending on the borrowers’ circumstances, and lenders are encouraged to make other arrangements, such as subordinate financing, to fill the gap between the existing loan balances and the FHA-insurable loan amount. The refinanced loan amount backed by the FHA would be based upon a new appraisal, performed by an FHA-approved appraiser. |
Administration Seeks Greenhouse Gas Curbs |
| President Bush last week said he wants to halt growth in greenhouse gases by 2025, the first time he’s gone on record with a fixed date. To achieve that he called for an array of market incentives to stabilize carbon dioxide pollution and increase fuel efficiency, among other things. NAR analysts are monitoring the administration’s objectives and greenhouse-gas legislation in Congress with an eye toward their potential impact on real estate. |
Lawmakers Shine Spotlight on Financial Literacy |
| NAR shared its educational brochures on mortgage finance with the House Financial Services Committee, which held hearings last week on consumer financial literacy. The hearings underscored the importance of consumers understanding the mortgage products available to them. |
President’s Podcast: Navigating the Credit Environment |
| NAR President Dick Gaylord in his latest, podcast explains how REALTORS® can help their clients understand and leverage new underwriting policies of secondary mortgage market giants Fannie Mae and Freddie Mac, among other tips for navigating today’s credit environment. |
LEGAL |
High-Risk Transactions Topic of License Law Forum |
| Your members can enter into short sales and other high-risk transactions with confidence after attending a risk management educational session at the 2008 REALTORS® Midyear Legislative Meetings & Trade Expo in Washington, D.C., next month. The License Law Forum is May 14, 8-10 a.m., and is hosted by Robert Kutschbach of Carleton Realty in Westerville, Ohio, and an instructor at Hondros College. Practitioners at four real estate brokerages will round out the panel. |
Legal News Sent to Your Computer |
| Gets NAR’s latest legal headlines delivered to your RSS reader. |
| Report compiled by Robert Freedman, rfreedman@realtors.org, 202/383-1012. |
| For more info on this report, visit the INS FAQ and online feedback area on REALTOR.org. For advertising information, Click Here.
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| NAR NEWS |
Condolences for Past NAR Treasurer Bruce Wolf |
| Former NAR Treasurer and Colorado Association of REALTORS® President Bruce Wolf passed away Friday, April 18, after a seizure at his home in Littleton, Colo. He was scheduled to have surgery for a noncancerous brain tumor this week. Bruce will be remembered by the AE community for spearheading the NAR Association Investment Program, which provides state and local associations and REALTOR® MLSs customizable investment options for their reserve funds. Memorial contributions can be made on behalf of Bruce to the American Brain Tumor Association, 2720 River Road, Des Plaines, IL 60018, or the Littleton Fire Department, 2255 W. Berry Ave. Littleton, CO 80165. Notes of condolences can be sent to his wife, Mary Wolf, and his family at 890 S. Southwood Drive, Littleton, CO 80121. |
Home Sales Edge Down in March |
| Existing-home sales were down 2.0 percent to a seasonally adjusted annual rate of 4.93 million units in March from a level of 5.03 million in February, and remain 19.3 percent below the 6.11 million-unit pace in March 2007, NAR says. A rise in condo sales in March was offset by a drop in single-family sales. “Though mortgage rates are at historically low levels, some borrowers are facing restrictive lending practices in declining markets,” says NAR Chief Economist Lawrence Yun. “At the same time, many buyers continue to bide their time with a large number of homes to choose from, while other potential buyers remain on the sidelines.” |
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