DALLAS (Dallas Business Journal) – By the end of 2009, 10.3 percent of Texas home loans were delinquent — up 0.5 percent from the third quarter — but the number of loans 30-60 days delinquent fell 11 basis points to 4.43 percent, according to the Mortgage Bankers Association.
A loan is considered delinquent if one or more payments are past due.
Nationally, the delinquency rate declined 17 basis points to 9.47 percent, and the rate for loans 30-60 days delinquent fell 46 basis points to 3.36 percent.
“This shows a significantly improved housing market, even from 90 days ago,” said Scott Norman, vice president of the Texas Mortgage Bankers Association.
The year concluded with 2 percent of Texas home loans in foreclosure, compared with 4.58 percent nationwide.

WASHINGTON, D.C. (Associated Press) – Homeowners have received another year to refinance their loans under the Home Affordable Refinance Program, the Federal Housing Finance Agency announced yesterday.
The program, which was originally scheduled to end June 10 but now expires June 30, 2011, allows borrowers who owe up to 25 percent more than their homes are worth to refinance at lower interest rates.
The Treasury Department reports that, so far, the program has helped about 220,000 homeowners with loans owned or guaranteed by Fannie Mae and Freddie Mac, far less than the projected four to five million.

GALVESTON (Galveston County Daily News) – City council members yesterday released $25 million in federal disaster recover funding to begin the plan to rebuild 569 units of hurricane-damaged public housing.
The Galveston Housing Authority will use the money not only to rebuild the units, but also to leverage support for federal Hope VI grants to revitalize entire neighborhoods on the island.
The housing authority must rebuild 569 rental units of public housing, not homeownership units, according to an agreement with advocacy group Lone Star Legal Aid.
The first round of federal funding must be spent by September 2011, two years after the council approved the plan for spending the money.
Council members also approved conceptual plans for rebuilding three of the four public housing developments. These include Oleander Homes, Cedar Terrace and Magnolia Homes.
The housing authority will begin searching for architects for these developments as it draws up plans, which will then be sent to the planning commission to make a recommendation to the council for final approval.

WASHINGTON (Associated Press) – Home builder confidence in current sales rose two index points in February to 17 after falling two consecutive months, according to the National Association of Home Builders.

 Builders’ outlook for sales over the next six months climbed one point to 27, and traffic by prospective buyers remained at 12 index points. 

The index for the Midwest and South regions increased two points but dropped one point in the Northeast and West.

 The index reflects a survey of 528 residential developers across the nation. Index readings below 50 indicate negative sentiment about the market. The last time the index reading exceeded 50 was April 2006.

WASHINGTON (Associated Press) – After one year of activity, the government’s mortgage relief plan has helped about 12 percent of borrowers who signed up for the program.

 According to the Treasury Department, about 116,000 homeowners had completed the application process as of last month and are making permanently reduced loan payments, compared with over one million homeowners who began the process.

 Over 61,000 homeowners have dropped out of the program either because they failed to make payments or did not return the necessary paperwork.

 There have been calls recently for a major overhaul of the program, particularly for the government to further encourage banks to cut borrowers’ principle balances on their primary loans. Nearly one in three homeowners with a mortgage owes more to the bank than their property is worth, according to Moody’s Economy.com.