CBIA - "California New Home Market Stays Cold in Summer Heat, CBIA Announces" (8-15-08)

"The monthly CBIA/Hanley Wood Market Intelligence (HWMI) New Home Sales and Pricing Report showed that new-home sales in June were 58 percent below June 2007. The drop represents a worsening in the trend of year-over-year decline, which had deteriorated to 51 percent last month after coming in at 44 percent in April. During June, 2,712 homes and condominiums were sold in the subdivisions tracked by Costa Mesa-based HWMI, compared to 6,436 in June 2007. During the month, sales of single-family homes dropped by 54 percent, while sales of townhomes and “plexes” – duplexes, triplexes, etc. – were down 38 percent and sales of condominiums were down by nearly 75 percent."

Mortgage Bankers Association - "SIFMA Designates Pools Containing Higher Balance Loans as TBA-Eligible" (8-15-08)

"The Securities Industry and Financial Markets Association (SIFMA) announced today that newly originated loans to borrowers in high cost areas as defined in the Housing and Economic Recovery Act of 2008 (H.R. 3221) will qualify for incorporation into To-Be-Announced (TBA) eligible mortgage-backed securities (MBS). To preserve the homogeneity and minimize liquidity disruption in this important market, SIFMA recommends that higher balance loans may comprise up to 10 percent of the total balance of a pool eligible for TBA delivery. SIFMA’s recommendation comes on the heels of the passage of H.R. 3221 which permanently increased the loan limits for high cost areas, up to a maximum of $625,550."

Daily News - "L.A. prepares to recycle foreclosed homes in city" (8-15-08)

"With Los Angeles' foreclosure rate surging by nearly 300 percent, city housing officials said Wednesday that they hope to help stabilize the market soon with millions of dollars in federal funds that would let them buy and resell homes already or likely to become abandoned. More than $1.2 billion in federal housing aid is expected to be available to California soon, possibly within a month. It is not yet clear how much L.A. would get; funding will be doled out based on need across the state."

Bloomberg - "MBIA, Ambac Jump After S&P Ends Credit Rating Review" (8-15-08)

"MBIA Inc. and Ambac Financial Group Inc., the bond insurers that have lost at least 79 percent of their market value this year, rose in New York trading after Standard & Poor's affirmed the company's credit ratings and called steps to shore up their businesses positive."

Bloomberg - "Merrill, Goldman Pressured on Auction-Rate as Wachovia Settles" (8-15-08)

"New York State Attorney General Andrew Cuomo stepped up pressure on Merrill Lynch & Co. and Goldman Sachs Group Inc. to settle claims they misled investors in auction-rate securities after Wachovia Corp. agreed to buy back $9 billion of the bonds."

The Washington Post - "Inflation Climbs to 17-Year High" (8-15-08)

"Americans paid more last month not only for gas and food but also for a variety of goods and services, including clothes, shoes, hotels and air travel, as inflation unexpectedly jumped to a 17-year high. The consumer price index climbed 0.8 percent in July, the Labor Department said yesterday, twice as much as Wall Street anticipated. It was the third straight month of high inflation, and the 5.6 percent year-over-year change was the highest since January 1991, when the economy was in recession."

Bloomberg - "OneBeacon Said to Hire Lehman to Sell Auto, Home Unit" (8-15-08)

"OneBeacon Insurance Group Ltd., the 177-year-old insurer that paid claims on the sinking of the Titanic, is seeking a buyer for its auto and home division in a sale that may raise about $500 million, according to three people briefed on the plans."

Bloomberg - "Families Spending Most on Necessities Since 1980: Chart of Day" (8-15-08)

"The CHART OF THE DAY shows families are spending a bigger share of their incomes on daily necessities than any time in the past quarter century. Housing, transportation, debt service, property taxes, food, energy and medical costs now consume almost 58 percent of family budgets, the most since at least 1980. Those costs have risen since February 1999, when they dropped to a low of 51 percent."

Orange County Register - "CA to get $105 million for housing" (8-15-08)

"U.S. Housing and Urban Development Secretary Steve Preston and Gov. Arnold Schwarzenegger today said the Golden State will get more than $105 million to produce more affordable housing and support community development in the state."

Orange County Register - "Only 7 O.C. ZIPs with rising home prices in late July" (8-15-08)

"DataQuick said that home prices rose in just seven of the 82 ZIP codes it tracks in Orange County for the 22 business days ending July 28 vs. a year earlier. For the entire county, the median price over that period dropped 27 percent vs. a year ago to $467,000."