April 2015





ServiSolutions Reports Lowest-Ever Delinquency Ratio 

ServiSolutions, the mortgage servicing department of the Alabama Housing Finance Authority, reported a total delinquency ratio of 3.9 percent as of March 31. 

This marks AHFA's lowest total delinquency ratio ever and a significant decrease from the average delinquency ratios of approximately 17 percent that were being reported when ServiSolutions acquired the portfolio and began servicing in 2005.

Way to go, team!

Board of Directors Holds April Meeting 

The AHFA Board of Directors met in public session on Thursday, April 23 and approved the issuance of multifamily bonds for the Chestnut Glen and Legacy Hill projects as well as the extension of AHFA's contract as master servicer for the Washington State Housing Finance Commission. 

The Board is slated to meet again in June.
Dothan's Beverlye Crossings II Opens

The grand opening and ribbon cutting ceremonies for the second phase of Beverlye Crossings in Dothan were held on April 6. AHFA staff was on hand to help celebrate. 


The development provides an additional 64 units of affordable housing for families in Dothan and was financed in part by $887,228 in AHFA-administered Housing Credits.
Evaluation of Multifamily Funding Applications Underway

The multifamily division has been busy reviewing applications for the 2015 allocation of HOME Investment Partnerships and Housing Credit program funding. 

The staff has been point-scoring, underwriting applications and completing site visits to ensure that Housing Credits and HOME funds are distributed fairly and effectively.


Continue to watch for news and updates relating to the 2015 application cycle at AHFA.com.

A Dozen Alabama Properties Rehabilitated Using Four Percent LIHTCs

AHFA was featured in the April 2015 issue of the Novogradac Journal of Tax Credits

The article highlighted the rehabilitation of 12 properties under a single four percent low-income housing tax credit (LIHTC) transaction.


Changes to Private Mortgage Insurance Coverage/Certificates Accepted for Step Up Loans

Effective with reservations accepted through the Lender Online portal on or after April 16, AHFA is accepting private mortgage insurance (PMI) coverage/certificates underwritten by the following companies:
  • Arch/CMG
  • Essent
  • Genworth
  • MGIC
  • Radian
  • United Guaranty

In addition, AHFA now accepts the following premium coverage types with our Step Up program:

  • monthly premiums
  • split premiums
  • borrower-paid single premiums

If you have questions about this information, please contact the Compliance Department at 334-244-9200 or compliance@ahfa.com.

 

1st Quarter Home Sales up 13 Percent from Prior Year
ACRE Releases Alabama Quarterly Residential Report 

 


 
Alabama residential sales during the first quarter of 2015 continued to gradually improve, up 13 percent compared to the same period a year earlier, reports the Alabama Center for Real Estate (ACRE). 

 

Total sales of 10,305 units represent the best first quarter since since 2007 (12,748 units). With that said, first quarter sales are still 22.8 percent (was 26.1 percent last quarter) below the quarterly peak established in 2006 when 13,350 units were sold.  


Supply: The statewide housing inventory average during the first quarter was 31,766 units, an increase of .5 percent from the same period in 2014, but 21.6 percent below the first quarter peak in 2008 (40,543 units). There was 9.2 months of housing supply (8 months considered equilibrium during 1st quarter) in the first quarter 2015, representing a favorable decline of 11 percent from the same period last year. Historical data indicates that the first quarter inventory-to-sales ratio in 2015 decreased 25.6 percent from the 5-year average (12.4 months) and decreased 15.6 percent from the 3-year average.
 

Demand: Historical data indicates that first quarter sales in 2015 increased by 16.7 percent from the most recent 3-year average ('12-'14) and 22.6 percent from the 5-year quarterly average ('10-'14).

Pricing: The statewide median sales price during the first quarter was $122,264, an increase of .1 percent from the same quarter in 2014. Historical data indicates that first quarter median price in 2014 increased by 4.8 percent from the most recent 3-year average and 4.6 percent from the 5-year quarterly average ('10-'14). 

 

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AHFA Offices to Close for May Holiday

The AHFA offices will be closed Monday, May 25 in observance of the Memorial Day holiday. AHFA and ServiSolutions will reopen at 8 a.m. on Tuesday, May 26.