Fed raises key interest rate to 5.25%

Just as many economists had predicted, the Ben Bernanke-led Federal Open Market Committee today announced the 17th consecutive increase in the federal funds rate, to 5.25 percent.

The committee approved a rate increase of 25 basis points, citing elevated inflation and high energy prices as contributing factors.

"Recent indicators suggest that economic growth is moderating from its quite strong pace earlier this year, partly reflecting a gradual cooling of the housing m  more...

Title insurance costs cut after Spitzer probe

The New York State Insurance Department approved a 15 percent rate reduction for title insurance in the state after New York Attorney General Eliot Spitzer launched an investigation into illegal rebates and referral fees among top insurers in the state.

The state's insurance department approved rate reductions for title insurance companies that cumulatively have 93 percent of the state's market share.  more...

Ohio real estate squeezed by rising interest rates

Home sales activity throughout Ohio continued to slow in May, taking prices lower as well, the Ohio Association of Realtors reported this week.

Sales of new and existing homes in May totaled 13,759, down 1.6 percent from a year ago when 13,987 sales were recorded. The month's average sales price of $156,864 sank 1.4 percent from last May's $159,100.

Sales for the first five months of the year, however, were up 2 percent from a year ago, rising to 54,752 from 53,660 during the same period last year, OAR reported.  more...

Mortgage rates jump for third week

Mortgage rates increased for the third consecutive week as markets expect the Fed to continue raising its key interest rate to keep inflation in check, according to surveys conducted by Freddie Mac and Bankrate.com.

In Freddie Mac's survey, the 30-year fixed-rate mortgage rose to an average 6.78 percent for the week ended today, up from last week's average of 6.71 percent. The 30-year fixed has not been higher since May 24, 2002, when it averaged 6.81 percent.  more...

Industry forms 'fraud squad' to combat lender losses

As reports of real estate fraud persist, a group of industry leaders has formed the Coalition Against Broker Fraud to combat mortgage firms' mounting losses from insider mortgage fraud.

In a May 2005 report, the FBI estimated that insiders accounted for 80 percent of the $86 billion in mortgage fraud losses in 2004.

The coalition, formed in early 2006, has announced the addition of two new advisors that will help guide the group's efforts.  more...

Realtors group calls for affordable disaster insurance

The National Association of Realtors this week offered testimony to Congress in support of affordable disaster insurance for homeowners.

"Options for obtaining and maintaining coverage for natural disasters are dwindling," stated association president Thomas M. Stevens.  more...

Businesses 'cautious' about economy, hiring

A key indicator that measures job offerings in major newspapers nationwide dropped two points in May, following a two-point drop in April, the Conference Board reported today.

The Help-Wanted Advertising Index now stands at 33, down from 35 in April and 38 one year ago.

In the last three months, help-wanted advertising declined in all nine U.S. regions.  more...

Overnight real estate rates up for 8th day

Long-term mortgage interest rates were up again Wednesday, and the benchmark 10-year Treasury bond yield rose to 5.24 percent.

The 30-year fixed-rate average inched up to 6.4 percent, and the 15-year fixed-rate increased to 6.1 percent. The 1-year adjustable was down at 5.47 percent.

The 30-year Treasury bond yield increased to 5.28 percent.

Rates are current as of 7:15 p.m. Eastern Standard Time.

Mortgage rate figures are according to Bankrate.com, which publishes nightly averages based on its survey of 4,000 banks in 50 states.  more...

Man in ski mask attacks Napa real estate broker

An attack on a Napa, Calif., real estate broker last week by a man wearing a ski mask prompted a multiple listing service in the area to issue an alert to subscribers.

The Santa Rosa, Calif.-based Bay Area Real Estate Information Services Inc. MLS, which serves about 10,000 real estate professionals, stated in a June 23 alert, "An agent has been attacked in the region. A listing agent received a call directly.  more...

Inman Innovator Award finalists announced

Inman News today released the names of the finalists for the coveted 2006 Inman Innovator Awards.  more...