About 40% of borrowers holding home equity lines of credit have not used their line in the past year, according to a recent study by Synergistics Research Corp., Atlanta.Entitled the Home Equity Lending Monitor 2006, the national telephone survey found that seven in 10 of the inactive group do have an outstanding balance, but that the proportion indicating no balance, 20%, is twice that of HELOC holders overall. Only about four in 10 of the inactive holders said they would be more likely to use their line in the next year if they received some incentive, compared with about six in 10 overall, the survey reported. "The size of the inactive [HELOC] holder segment is alarming," said William H. McCracken, chief executive officer of Synergistics. ".... Although it would be most desirable to move these holders back into the 'active sphere,' providers may have to give consideration to the implementation of inactivity or other punitive fees to maintain some level of profitability among these customers." The survey was conducted in July and August of 2006 with 1,200 homeowners age 18 or older. The company can be found online at http://www.synergisticsresearch.com.
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The increasing frequency and severity of droughts was top of mind for panelists at AmeriCatalyst's "Going to Extremes" conference Thursday.
April 18 -
In a Senate hearing, Director Sandra Thompson said a raise to the required income threshold provided to affordable housing was on the table, while housing regulators also faced questions related to property insurance hikes and title insurance waivers.
April 18 -
The nonpayment rate for non-qualified mortgages is up 21 basis points from February and 134 basis points from March 2023, Morningstar DBRS said.
April 18 -
The government mortgage-bond guarantor will require additional information on foreclosure prevention actions, and retire some forbearance reporting.
April 18 -
But views are split, at least in the near-term on whether rising mortgage rates are holding back the Spring home purchase season.
April 18 -
The top five producers had an average dollar volume of FHA loans of more than $50 million in 2023.
April 18