Drop in February new-home sales overstated?

Most of the recent downturn in new-home sales may have been a statistical anomaly caused by builders reselling homes that buyers backed out of, according to the latest economic outlook report from the chief economist at Freddie Mac.

New-home sales dropped 4 percent in February, clouding the prospects for a housing market recovery implied by a 4 percent gain in sales of existing homes and a 5 percent increase in sales of existing condos and co-ops.

But the drop in new-home sales may have been misleading, because resales of homes with previously cancelled sales contracts are not  more...

CEOs don't expect economy to worsen

A key indicator that measures chief executives' confidence in the economy moved up slightly in the first quarter of 2007, although the outlook for new hires remains weak, The Conference Board reported today.

The Chief Executives' Confidence Measure, which had improved to 50 in the fourth quarter of 2006, rose to 53 in the first quarter of 2007, according to The Conference Board's latest survey of nearly 100 business leaders in a wide range of industries.  more...

Mortgage lenders, builders pick up pace of job cuts

Real estate firms cut jobs during the first quarter at the same pace as last year, but job losses in the mortgage lending industry nearly doubled for the period, according to a consulting firm that helps workers find new jobs.

Announced job cuts in the real estate industry totaled 1,149 during the first quarter, about the same as the 1,152 tracked during the same quarter of 2006 by Challenger, Gray & Christmas Inc., a New York-based outplacement job consulting firm. There were 3,490 announced job cuts in real estate in 2006, Challenger said in an April 4 report.  more...

House schedules hearing on subprime lending

The House Financial Services Committee will hold a hearing this month on subprime mortgage lending, Chairman Barney Frank announced Friday

Frank said the April 17 hearing will "explore possible responses to recent increases in home mortgage foreclosure rates" and include representatives from Fannie Mae, Freddie Mac, the Federal Housing Administration, the mortgage industry and consumer organizations.

Frank, D-Mass., told lawmakers in a March 29 letter that the committee was drafting legislation to address  more...

Overnight real estate rates move higher

Long-term mortgage interest rates were up Friday, and the benchmark 10-year Treasury bond yield rose to 4.74 percent.

The 30-year fixed-rate average climbed to 5.77 percent, and the 15-year fixed rate increased to 5.51 percent. The 1-year adjustable was up at 5.34 percent.

The 30-year Treasury bond yield gained to 4.92 percent.

Rates and bonds 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...

Executive at failed lender blames creditor for pay dispute

A subprime mortgage lender withheld commission checks from 61 employees at the behest of one of its biggest creditors, according to an executive who is seeking to avoid arrest and criminal prosecution.

The Connecticut Department of Labor has applied for an arrest warrant against Mitchell L. Heffernan, the former president of Connecticut-based Mortgage Lenders Network USA Inc., charging him with failing to pay commissions ranging from $5,000 to $300,000.

MLN closed its wholesale lending division Dec.  more...