CoreLogic: 1.11 Million Homeowners with Negative Equity in Q2 2023

Industry Update
September 8, 2023

Source: Calculated Risk

CoreLogic® released the Homeowner Equity Report (HER) for the second quarter of 2023. The report shows that U.S. homeowners with mortgages (which account for roughly 63% of all properties) saw home equity decrease by 1.7% year over year, representing a collective loss of $287.6 billion, and an average loss of $8,300 per borrower since the second quarter of 2022.

However, U.S. homeowners with mortgages gained on average $13,900 quarter over quarter, amounting to a collective increase of $806 billion – or a 5.2% gain – in home equity. And while borrowers in the West continued to experience the largest year-over-year equity losses, homeowners in states like Hawaii, California and Washington still have the most accumulated equity due to the pace of appreciation over the past decade.

“While U.S. home equity is now lower than its peak in the second quarter of 2022, owners are in a better position than they were six months ago, when prices bottomed out,” said Selma Hepp, chief economist for CoreLogic. “The 5% overall increase in home prices since February means that the average U.S. homeowner has gained almost $14,000 compared with the previous quarter, a significant improvement for borrowers who bought when prices peaked in the spring of 2022.”

 

For full report, please click the source link above.

 

 

 

 

 

 

 

 

 

 

 

Freddie Mac Announces Michael J. DeVito to Retire as CEO

Industry Update
September 8, 2023

Source: Freddie Mac

Freddie Mac announced today that Michael J. DeVito has informed the Board of Directors of his intention to retire as Chief Executive Officer in the first quarter of 2024. The Board will begin a search for a successor, and a smooth transition is anticipated.

“We are very saddened to hear of Michael’s departure, and the Board expresses its profound appreciation for his strong leadership and his many other contributions to Freddie Mac,” said Sara Mathew, Chair of Freddie Mac’s Board of Directors. “Above all, Michael demonstrated a true passion for the company’s mission and drove meaningful progress in making home possible for homebuyers and renters in communities across the nation.”

 

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FEMA Major Disaster Declaration – Maine Severe Storm and Flooding

FEMA Alert
September 5, 2023

FEMA has issued a Major Disaster Declaration for areas of the state of Maine to supplement state, tribal and local recovery efforts in the areas affected by a severe storm and flooding on June 29, 2023.  The following areas has been approved for assistance:

Public Assistance:

  • Franklin

 

Maine Severe Storm and Flooding (DR-4736-ME)

President Joseph R. Biden, Jr. Approves Major Disaster Declaration for Maine

Map of Affected Areas

List of Affected Zip Codes

 

Additional Resources

FEMA’s web site

FEMA’s Disaster Declaration Process

Safeguard Properties Industry Alerts

HUD Moratorium on Foreclosure

VA’s Policy Regarding Natural Disasters

Freddie Mac Disaster Relief Policies

Fannie Mae’s Natural Disaster Relief Policies

FEMA Major Disaster Declaration – Tennessee Severe Storms and Straight-line Winds

FEMA Alert
September 4, 2023

FEMA has issued a Major Disaster Declaration for areas of the state of Tennessee to supplement state, tribal and local recovery efforts in the areas affected by severe storms and straight-line winds from July 18-21, 2023  The following areas has been approved for assistance:

Public Assistance:

  • Fayette
  • Henry
  • Shelby
  • Tipton

 

Tennessee Severe Storms and Straight-line Winds (DR-4735-TN)

President Joseph R. Biden, Jr. Approves Major Disaster Declaration for Tennessee

Map of Affected Areas

List of Affected Zip Codes

 

Additional Resources

FEMA’s web site

FEMA’s Disaster Declaration Process

Safeguard Properties Industry Alerts

HUD Moratorium on Foreclosure

VA’s Policy Regarding Natural Disasters

Freddie Mac Disaster Relief Policies

Fannie Mae’s Natural Disaster Relief Policies

FEMA Fire Management Assistance Declaration – Louisiana Highway 113 Fire

FEMA Alert
August 30, 2023

FEMA has issued a Fire Management Assistance Declaration for the state of Louisiana to supplement state, tribal and local response efforts in areas affected by the Highway 113 Fire beginning August 30, 2023 and continuing.  The following areas have been approved for assistance:

Public Assistance:

  • Rapides (Parish)

 

Louisiana Highway 113 Fire (FM-5486-LA)

List of Affected Zip Codes

 

Additional Resources

FEMA’s web site

FEMA’s Disaster Declaration Process

Safeguard Properties Industry Alerts

HUD Moratorium on Foreclosure

VA’s Policy Regarding Natural Disasters

Freddie Mac Disaster Relief Policies

Fannie Mae’s Natural Disaster Relief Policies

FEMA Major Disaster Declaration – Florida Hurricane Idalia

FEMA Alert
August 31, 2023

***UPDATED 10/5/23***

FEMA has issued a Major Disaster Declaration for areas of the state of Florida to supplement state, tribal and local recovery efforts in the areas affected by Hurricane Idalia beginning August 27, 2023 and continuing.  The following areas has been approved for assistance:

Individual Assistance:

  • Charlotte
  • Citrus
  • Columbia
  • Dixie
  • Gilchrist
  • Hamilton
  • Hernando
  • Hillsborough
  • Jefferson
  • Lafayette
  • Levy
  • Madison
  • Manatee
  • Pasco
  • Pinellas
  • Sarasota
  • Suwannee
  • Taylor

Public Assistance:

  • Alachua
  • Baker
  • Bay
  • Bradford
  • Brevard
  • Calhoun
  • Charlotte
  • Citrus
  • Clay
  • Collier
  • Columbia
  • DeSoto
  • Dixie
  • Duval
  • Flagler
  • Franklin
  • Gadsden
  • Gilchrist
  • Gulf
  • Hamilton
  • Hardee
  • Hernando
  • Hillsborough
  • Jefferson
  • Lafayette
  • Lake
  • Lee
  • Leon
  • Levy
  • Liberty
  • Madison
  • Manatee
  • Marion
  • Nassau
  • Orange
  • Osceola
  • Pasco
  • Pinellas
  • Polk
  • Putnam
  • Sarasota
  • Seminole
  • St. Johns
  • Sumter
  • Suwannee
  • Taylor
  • Union
  • Volusia
  • Wakulla

 

Florida Hurricane Idalia (DR-4734-FL)

President Joseph R. Biden, Jr. Approves Major Disaster Declaration for Florida

Map of Affected Areas

List of Affected Zip Codes

 

Additional Resources

FEMA’s web site

FEMA’s Disaster Declaration Process

Safeguard Properties Industry Alerts

HUD Moratorium on Foreclosure

VA’s Policy Regarding Natural Disasters

Freddie Mac Disaster Relief Policies

Fannie Mae’s Natural Disaster Relief Policies

FEMA Emergency Management Declaration – South Carolina Hurricane Idalia

FEMA Alert
August 31, 2023

FEMA has issued an Emergency Management Declaration for the state of South Carolina to supplement state and local response efforts to the emergency conditions in the areas affected by Hurricane Idalia beginning August 29, 2023 and continuing.  The following areas has been approved for assistance:

Public Assistance:

  • Abbeville
  • Aiken
  • Allendale
  • Anderson
  • Bamberg
  • Barnwell
  • Beaufort
  • Berkeley
  • Calhoun
  • Charleston
  • Cherokee
  • Chester
  • Chesterfield
  • Clarendon
  • Colleton
  • Darlington
  • Dillon
  • Dorchester
  • Edgefield
  • Fairfield
  • Florence
  • Georgetown
  • Greenville
  • Greenwood
  • Hampton
  • Horry
  • Jasper
  • Kershaw
  • Lancaster
  • Laurens
  • Lee
  • Lexington
  • Marion
  • Marlboro
  • McCormick
  • Newberry
  • Oconee
  • Orangeburg
  • Pickens
  • Richland
  • Saluda
  • Spartanburg
  • Sumter
  • Union
  • Williamsburg
  • York

 

South Carolina Hurricane Idalia (EM-3597-SC)

President Joseph R. Biden, Jr. Approves Emergency Declaration for South Carolina

Map of Affected Areas

List of Affected Zip Codes

 

Additional Resources

FEMA’s web site

FEMA’s Disaster Declaration Process

Safeguard Properties Industry Alerts

HUD Moratorium on Foreclosure

VA’s Policy Regarding Natural Disasters

Freddie Mac Disaster Relief Policies

Fannie Mae’s Natural Disaster Relief Policies

Hurricane Idalia Tracker Map Shows Flood Risks as Carolinas Impacted

Disaster Alert
August 31, 2023

Source:  MSN/Newsweek; National Hurricane Center

Hurricane Idalia has been downgraded to a tropical storm after making landfall in Florida on Wednesday and tearing across the northern portion of the state and into Georgia and South Carolina, leaving destruction and flooding in its wake.

According to the latest tracking by the National Hurricane Center, as of 2 a.m. ET, the storm was still circulating along the coast of South Carolina, and is expected to move northwards, impacting parts of the North Carolina coastline, before arching back out into the Atlantic Ocean by 8 p.m. on Thursday.

In North Carolina, Governor Roy Cooper told residents to “batten down the hatches for a little while” in a press conference on Wednesday, as he authorized the deployment of the state’s National Guard to worst-affected areas.

A forecast map produced by the National Hurricane Center shows the greatest risk of flash flooding is now in eastern North Carolina, between Wilmington and Hatteras, where there is a 40 percent chance of a deluge across Thursday.

A large swathe of South Carolina still faces a 5-15 percent chance of excessive rainfall leading to flooding, and the risk of flash flooding across northern and western Florida—including Tampa Bay and the areas surrounding Tallahassee—is expected to persist until Saturday.

Western coastal regions of Florida saw storm surge flooding ahead of Idalia’s arrival, while it was still a Category 4 hurricane in the Gulf of Mexico. Storm surge is a rise in the sea level beyond tidal changes that precede the arrival of an impending storm and can cause severe flooding as seawater breaches coastal defenses.

The potential for storm surge flooding is now far more limited, with the coastline of the Carolinas between Jacksonville, South Carolina, and the Pamlico Sound in North Carolina predicted to see several feet of surging sea water, as of 11 p.m. ET on Wednesday.

The area between Savannah and Myrtle Beach is likely to see the worst storm surge flooding, National Hurricane Center maps show, with seawater rising to in excess of six feet above localized ground levels in parts. Meteorologists at the agency give a one in 10 chance of storm surge reaching such levels.

As of 2 a.m. ET on Thursday, though, the only part of the East Coast under a storm surge warning was the interior coastline of Pamlico Sound.

In Charleston, South Carolina, storm surge flooding overcame the sea wall, pouring ankle-height water onto the city’s streets, the Associated Press reported.

The National Weather Service (NWS) said in its latest forecast that the tropical storm was interacting with the coastline and still producing “very heavy precipitation over portions of South and North Carolina.”

It added that because Idalia was “fairly close to the coast,” with much of its circulation occurring over water, “not much additional weakening is anticipated.” Cyclones feed on warm seawater and typically degrade rapidly over land.

However, NWS meteorologists said that its continued interaction with the coast will likely prevent it from strengthening again as it moves out into the Atlantic later in the week—suggesting subsequent coastal impacts may be limited.

“Although it seems likely that the cyclone will move rather slowly in the two-five day time frame, the details of its track are uncertain due to significant track model differences in the latter part of the forecast period,” the NWS cautioned.

Newsweek approached the NWS station in Raleigh, North Carolina, via email for comment on Thursday.

Despite leaving a path of destruction in its wake, officials have yet to confirm any deaths directly due to the impacts of Idalia. Two people were killed in hurricane-related car crashes in Florida ahead of the storm’s arrival, the state’s highway patrol said, according to numerous reports.

 

***Note: FEMA has approved an Emergency Management Declaration for Tropical Storm Idalia, but has not issued a Major Disaster Declaration at this time.   We will update you as more information becomes available.***

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Hurricane Idalia Makes Landfall in Florida as a Dangerous Category 3 Storm

Disaster Alert
August 30, 2023

Source:  CNN

The center of Hurricane Idalia has slammed Florida’s Big Bend at dangerous Category 3 strength – inflicting deadly storm surge and catastrophic winds not seen in that Gulf Coast area in 125 years. And its destruction is expected to keep unfolding far beyond the landfall zone.

Idalia’s core hit shore Wednesday morning near Keaton Beach, around where the panhandle meets the peninsula. As of 9 a.m. ET, it was whipping top sustained winds of 110 mph as it threatened inland Florida and the Georgia and South Carolina coasts with intense flooding, ferocious winds and tornadoes, the National Hurricane Center said.

In the vulnerable island city of Cedar Key, a water level record was shattered amid 8 to 9 feet of storm surge. And the water was still rising fast – predicted to hurl seawater as high as halfway up the second floor of an average building.

Even before landfall, the city looked “almost apocalyptic,” resident Michael Bobbitt said early Wednesday. Hours later, the disastrous storm surge had overwhelmed it.

“We’re effectively cut off from the world now,” Bobbit said. “It’s going to get a lot worse, and I’m really fearful for what we’re going to find in some of the low-lying areas and some of our older, more infirm citizens today.”

Do not try to “‘ride’ this one out,” police had told residents in the Big Bend city of Perry, warning storm surge higher than 15 feet is “not survivable if you are caught in it.” Storm surge accounts for about half of all hurricane-related deaths, the National Oceanic and Atmospheric Administration said.

A rare extreme wind warning – issued in cases of life-threatening sustained winds of 115 mph or more – was issued for parts of the Big Bend region, including Dixie and Taylor counties: “Treat these imminent extreme winds as if a tornado was approaching and move immediately to the safe room in your shelter,” the National Weather Service office in Tallahassee warned. “Take action now to protect your life!”

A tornado watch is in place for nearly 12 million people across central and northern Florida and southeast Georgia until 3 p.m. Wednesday as conditions continue to deteriorate, with coastal streets and lots flooding in places including Tampa, St. Petersburg and Fort Myers Beach as ocean water pushes ashore, rain pours down and winds whip.

And destruction is possible far behind Idalia’s forecast cone, Florida Gov. Ron DeSantis said Wednesday morning. At least 11 tornado warnings already had been issued, with more possible – even in places “way outside the cone that you see on your TV screens,” he said.

 

***Note: FEMA has approved an Emergency Management Declaration for Tropical Storm Idalia, but has not issued a Major Disaster Declaration at this time.   We will update you as more information becomes available.***

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Zombie Foreclosures Hold Steady During Third Quarter

Industry Update
August 24, 2023

Source: ATTOM

ATTOM, a leading curator of land, property, and real estate data, today released its third-quarter 2023 Vacant Property and Zombie Foreclosure Report showing that 1.3 million (1,277,612) residential properties in the United States are vacant. That figure represents 1.3 percent, or one in 79 homes, across the nation – the same as in the second quarter of this year.

The report analyzes publicly recorded real estate data collected by ATTOM — including foreclosure status, equity and owner-occupancy status — matched against monthly updated vacancy data. (See full methodology below). Vacancy data is available for U.S. residential properties at https://www.attomdata.com/solutions/marketing-lists/.

The report also reveals that 315,425 residential properties in the U.S. are in the process of foreclosure in the third quarter of this year, up 1.3 percent from the second quarter of 2023 and up 16.6 percent from the third quarter of 2022. A growing number of homeowners have faced possible foreclosure since a nationwide moratorium on lenders pursuing delinquent homeowners, imposed after the Coronavirus pandemic hit in early 2020, was lifted in the middle of 2021.

Among those pre-foreclosure properties, about 8,800 sit vacant as zombie foreclosures (pre-foreclosure properties abandoned by owners) in the third quarter of 2023. That figure is up slightly from the prior quarter, by 0.3 percent, and up 13.9 percent from a year ago.

 

For full report, please click the source link above.