According to an article in the Star-Telegram, the Federal Housing Administration (FHA) has been terribly weakened by the foreclosure crisis and many analysts fear that the housing agency may need a taxpayer bailout.

The article said:

“On Friday, the FHA said its financial reserves had sunk below mandatory levels for the first time in its 75-year history. While officials insist the agency won’t require a taxpayer rescue, falling home …

Tags: Barack Obama Federal Housing Administration FHA foreclosure

Permalink: /foreclosures/federal-housing-administration-shaken-by-foreclosure-crisis/

… to an article in the Star-Telegram, the tax credit has already had a big influence on the housing market encouraging many first-time buyers to make the leap into homeownership.

The article said:

“The National Association of Realtors estimates around one-third of home sales this year reported nationally are first-time home buyers. In a normal market, it’s between 10 and 15 percent.”

But how many of these first-time buyers are financially prepared for the responsibilities …

Comment by Jacob Decker: … level the mortgage/housing industry to its optimal level. …

Tags: foreclosure Loan Mortgage National Association of Realtors Tax credit U.S. Housing Market

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The Housing and Urban Development (HUD) has a special forbearance initiative known as HUD Special Forbearance Initiative which permits lenders of Federal Housing Administration (FHA) insured mortgages to assist creditworthy homeowners who are behind in making mortgage payments because they are temporarily unemployed.

To be eligible, the mortgage must be an FHA insured mortgage and the homeowner …

… Morning News, sales of new homes surged 9.6 percent in July, an increase driven by the $8,000 federal tax incentive for buyers.

The article said:

“The Commerce Department said Wednesday that sales rose to a seasonally adjusted annual rate of 433,000 from an upwardly revised June rate of 395,000. Sales are now up more than 30 percent from the bottom in January, but are still off nearly 70 percent from the frenzied peak four years ago.”

The federal tax incentive for homebuyers …

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According to an article in the Star-Telegram, the Obama administration has pumped up the pressure on mortgage lenders in an effort to curb foreclosures. This week the administration was able to extract a verbal pledge from 23 mortgage company executives promising to enroll 500,000 homeowners facing foreclosure into mortgage loan modification programs.

The article said:

“The sessions came amid concerns that the Obama administration will …

Permalink: /breaking-news/obama-administration-puts-pressure-on-mortgage-lenders/

The Federal Trade Commission (FTC) has proposed changes to the law that would prohibit so-called “ foreclosure prevention” companies from charging up-front fees for their services. 

“Homeowners facing foreclosure or struggling to make mortgage payments shouldn’t have to contend with fraud­ulent companies that don’t provide what they promise,” FTC Chairman Jon Leibowitz said. …

Tags: Federal Trade Commision foreclosure homeowners

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… permanent a tax law that allows Texas residents to deduct state and local sales taxes from their federal income tax returns.

The article said: In 2004, Congress approved the provision allowing taxpayers who itemize to deduct either their state income tax or their state and local sales tax expenses, and it has been extended on a one- or two-year basis ever since. It was due to expire after the 2009 tax year. Deduction of sales taxes had originally been eliminated in the Tax Reform Act of …

Permalink: /tax_debt_garnishments/texas-residents-can-now-deduct-sales-taxes-on-federal-income-tax-returns/

According to an article in the Star-Telegram, the Obama administration plans a major crackdown on scams targeting homeowners facing foreclosure.

The article said:

As part of the new enforcement effort, the Treasury Department’s Financial Crimes Enforcement Network will provide an advisory to financial institutions to help them spot and report questionable loan-modification schemes.

“What today’s announcement means for American …

Permalink: /foreclosures/obama-administration-cracks-down-on-foreclosure-scammers/

According to an article in the Dallas Morning News, the Dallas Housing Authority has received $8.8 million to use for public housing as part of the Obama administration stimulus package. The agency plans to use the funds to replace roofs, upgrade security lights, resurface parking lots and replace carpets in many public housing properties. The Dallas Housing Authority which owns and manages 3,900 units at 27 locations also plans to use the stimulus money …

Permalink: /breaking-news/public-housing-funds-arrive-in-dallas-fort-worth/

Home sales were down in January, another sign that the housing market may not be recovering as quickly as many had hoped.  Sales of previously owned homes fell by 7.2 percent bringing the number of homes sold to its lowest level since summer.

“Most of the improvement that we’ve seen in housing over the past year has been tied to some sort of stimulus program,” said Wells Fargo economist Mark Vitner. “Now that we’re seeing those programs …

Permalink: /foreclosures/job-losses-lead-to-a-sluggish-housing-market/

The Federal Trade Commission (FTC) successfully sued three debt collection companies who scammed consumers into paying money they did not really owe.   A total of $1.6 million was recovered from the debt collection scammers and will be distributed to 24,916 consumers.

In 2003, the FTC sued three companies, operating under the name National Check Control, charging them with harassing and abusing …

Permalink: /breaking-news/federal-trade-commission-to-reimburse-consumers-scammed-by-debt-collectors/

Mortgages backed by the Federal Housing Administration are literally draining the agency of its cash reserves. The number of FHA foreclosures has increased 26 percent within the past year and at least 9.1 percent of FHA borrowers are at least 3 payments delinquent on their mortgage payments as of December.

The problems are rooted in FHA mortgages made in 2007 and 2008. Those loans are now maturing into their …