PBP Update: Housing Groups Call for 7,500 Rehabs

(Courtesy of Bloomberg): President Barack Obama is calling for private capital to take the lead role in the nation's mortgage market with the U.S. government continuing to provide a backstop only against catastrophic risk. The president for the first time is endorsing an approach to remake the housing finance system as Fannie Mae and Freddie Mac (FMCC) are wound down. He said the government still must play a role to preserve broad access to 30-year, fixed-rate mortgages that underpin the market. A reduced government role would likely mean that mortgages would become more expensive as the costs of covering risk are shifted from taxpayers to borrowers. MORE

Housing Groups Call for Purchase & Rehab of 7,500 Homes in Metro Atlanta; Effort to Create Jobs and Boost Neighborhoods

Housing Groups are calling for purchase and renovation of 7,500 homes in metro Atlanta over next five years to help rebuild Atlanta neighborhoods in the wake of the foreclosure crisis. Achieving that would create jobs, help fill neighborhoods with homeowners and increase property values - without the use of local tax dollars. Committed to Communities is joining Atlanta Neighborhood Development Partnership (ANDP) and Residents for Resources and Communities (RRC) along with Invest Atlanta and the Lifecycle Building Center to offer a two-day educational event in the Adair Park neighborhood concerning purchase and renovation. The most common way to purchase and rehab homes is through what are known as 203(k) loans, guaranteed by the federal government and known by their HUD designation. With one mortgage, buyers can buy the home and obtain financing for renovations. Homebuyers in the City of Atlanta can use NeighborhoodLIFT money for purchase and rehab with up to $15,000 available for each home and more than $2 million still available.

Friday, August 16 - Preview event for housing community, local elected officials, media and other parties interested in learning more about HUD 203(k) loans. AUG 16 EVENT & RSVP DETAILS

Saturday, August 17 - Tour of same three 203(k) homes held Friday, with additional homes throughout Adair Park. AUG 17 EVENT & REGISTRATION DETAILS

Mark Your Calendars - October 10; PBP Partners to Host Neighborhood Investment Conference

Metro Atlanta is one of the leading national targets for institutional investors in search of low-priced single family homes for their short-, mid- or long-term rental portfolios. In recent months, national private equity firms --- some of whom are focused on the buy-to-rent market --- have invested millions in Metro Atlanta real estate. The Neighborhood Investment Conference, co-hosted by ARC, Enterprise Community Partners and PBP, is designed to convene institutional investors, regional governmental leaders, affordable housing stakeholders and others for a collaborative discussion about recent real estate investment trends and strategies to ensure the long-term health and viability of metro Atlanta neighborhoods. Mark your calendars and stay tuned for registration details. MORE

HUD Secretary Donovan and Habitat for Humanity International CEO to Speak at NHC Solutions Conference in Atlanta

(Courtesy of National Housing Conference (NHC)): NHC has confirmed Jonathan Reckford, CEO of Habitat for Humanity International, as the opening speaker for Solutions 2013, the national conference on state and local housing policy which will be held in Atlanta on September 16 - 18. HUD Secretary Shaun Donovan will headline the session on federal policy. For more details on the agenda and to register, CLICK HERE.

Upward Mobility Varies Geographically, Study Finds

(Courtesy of Housing Matters): A new study by a group of top academic economists finds a correlation between where people live and their income mobility. Atlanta is one of the metropolitan areas where it is most difficult for lower-income households to rise into the middle class and beyond, according to the report, which is based on millions of anonymous earnings records and is the first study with enough data to compare upward mobility across metropolitan areas. Poor families that live in mixed-income neighborhoods have a mobility advantage, the study found.

FULL STUDY NY TIMES ATLANTA MAYOR REED RESPONSE

Homeownership Rate Drops to 65.5%; Lowest Since '95

(Courtesy of Housing Matters): The U.S. homeownership rate fell to 65.1% in the second quarter, the Commerce Department reported. The rate is the lowest since 1995. Home prices are on the rise and lending standards are strict, pushing more people toward renting while investors take over more of the housing inventory. "Household formation is going into the rental market," said Julia Coronado, North America chief economist at BNP Paribas. "Investors are buying empty homes and converting them into rental markets, that's who the market is clearing." MORE

Congress Fails to Pass Housing Appropriations Bill Before Summer Recess

(Courtesy of NHC): The House failed to pass its Transportation, Housing and Urban Development (THUD) appropriations bill as a result of strong stakeholder reactions to the damagingly low funding levels. The Senate bill, which had significantly higher funding, failed to achieve 60 votes for cloture, which means the bill will not move forward. So, going into the August recess, a continuing resolution for THUD looks much more likely this year. See coverage from NHC's Open House blog.

Partnership Buys Underwater Mortgages to Help Owners Avoid Foreclosure

(Courtesy of Housing Matters): A partnership among four national housing groups, called Mortgage Resolution Fund, is working to help homeowners avoid foreclosure by purchasing their mortgage notes. The partnership then either modifies the loans or helps families relocate. Officials with Mortgage Resolution Fund have had success in Ohio and Illinois and had hoped to buy large volumes of loans concentrated in neighborhoods most vulnerable to foreclosures, but they have encountered some roadblocks to those goals. MORE

Case-Shiller Indices Near 5-Year High

Home prices rose to their highest levels in almost five years in May, increasing 2.5 percent, according to the Case-Shiller Home Price Indices released Tuesday. On a non-seasonally adjusted basis, the 20-city index was up 12.2 percent from a year earlier, and the companion 10-city index was up 11.8 percent. For the month, the 10-city index rose 2.5 percent, and the 20-city index was up 2.4 percent. The 10-city index rose to its highest level since September 2008 and the 20-city index to its highest level since October 2008. Year-over-year the price gains were led by San Francisco, where prices rose 24.5 percent since May 2012, followed by Las Vegas (up 23.2 percent), Phoenix (up 20.6 percent), and Atlanta (up 20.1 percent). MORE

Fannie Mae and Freddie Mac Reform Bill Advances in House

(Courtesy of Enterprise Capital Express): On July 24, the House Financial Services Committee advanced the Protecting American Taxpayers and Homeowners (PATH) Act by a vote of 30-27. The bill would wind down Fannie Mae and Freddie Mac, make significant changes to the Federal Housing Administration (FHA) and create a private housing finance system without a government backstop. Two Republicans joined the full Democratic committee membership in opposing the bill. According to Enterprise Senior Analyst John Griffith, enacting the PATH Act could lead to the loss of the 30-year-fixed rate mortgage, increase the price and decrease the availability of rental housing and cripple FHA's insurance programs. MORE

CALENDAR ITEMS

Share your calendar items with us! Please email Susan Adams at [email protected] with news of your upcoming events.

August 17; 11:00 AM to 2:30 PM; Committed to Communities Open House event; Host Home; 786 Lowndes Avenue SW; Atlanta, GA 30310; RESOLUTION 2013 - OWN IT! The 11th Committed to Communities event will take place on Saturday, August 17th in Adair Park. Committed to Communities will be highlighting opportunities with renovation homes, and providing before, during and after renovation samples for ideas. MORE

September 4; Quarterly Atlanta Regional Housing Forum; Topic and presenters to be announced. MORE

September 9 - 12; 2013 Reclaiming Vacant Properties Conference, Philadelphia, PA. Registration deadline for scholarships is July 2. For registration and more details on conference agenda click here.

September 16-18; The National Housing Conference presents Solutions 2013: National Conference on State and Local Housing Policy is designed to be useful to both newcomers and experienced practitioners and policymakers by offering a comprehensive, highly interactive educational experience over the three-day conference. The conference will include opportunities for peer-to-peer learning, mobile workshops, facilitated discussions, panel discussions, networking receptions and breakfasts, and plenary sessions. MORE

September 21; 8:30 AM - 2:00 PM; 2013 Neighborhood Summit; Loudermilk Center for the Community; 40 Courtland Street, NE. MORE

Sincerely,

Susan Adams

Piece by Piece Coordinator

andp brown