"Fannie Mae Announces Stock Issues Redemption"

Fannie Mae announced it will redeem the principal amounts on a number of securities issues on the respective redemption dates at a redemption price equal to 100% of the principal amount redeemed, plus accrued interest thereon to the date of redemption. For details and the chart of securities issues, check http://biz.yahoo.com/bw/980911/fannie_mae_1.html

Realty Executives of Phoenix on Track for $4B in Home Sales

Arizona's largest residential real estate company, Realty Executives of Phoenix, Thursday exceeded the $3 billion (B) level in home sales for 1998, and the company says it expects a record-breaking $4 billion in home sales by year's end.

"The dollar volume of home sales has never been this robust, this early in the year,'' said Rich Rector, chairman of Realty Executives, ``and we're on our way to a first-time-ever $4 billion year, which would be a record for this company, and for any residential real estate company in Arizona.''

In 1997, Rector said, Realty Executives oversaw a total of $3.44 billion in residential home sales, up from $2.89 in 1996 sales volume, an increase of 19.1 percent.

"The Top Ten ..."
Wall Street Journal (09/11/98) P. W6

The Southeast region had two of the top 10 markets that were most frequently targeted for surveys on households in 1997, according to Fairfield, Conn.-based Survey Sampling Inc. The markets were Raleigh-Durham-Chapel Hill, N.C., and Greenville-Spartanburg, S.C. Homeowners in Topeka, Kan., were surveyed the most among more than some 300 markets last year. Wisconsin had four of the top 10 markets in Kenosha, Sheboygan, Racine, and Milwaukee-Waukesha. The remaining areas were markets of Pittsburgh; Portland, Ore.; and Buffalo-Niagara Falls, N.Y.

"Mortgage Rates Decrease"
New York Times (09/11/98) P. C2

Average rates on 30-year fixed-rate mortgages fell to 6.77 percent this week from 6.82 percent the previous week, the lowest rate since October 1993, according to Freddie Mac. Average 15-year mortgage rates also fell to 6.43 percent from 6.51 percent the previous week, and one-year adjustable-rate mortgage rates fell to 5.50 percent.

"More Minorities Enter Starter-Home Market, Study Finds"
Washington Times--Home Guide (09/11/98) P. F8; Lynn, Kathleen

A growing number of minorities are becoming first-time homebuyers as homeownership becomes more affordable for all members of society, confirms a study by the Joint Center for Housing Studies at Harvard University. Minorities only account for 17 percent of all homeowners in the United States, but they represent 42 percent of the increase in homeownership between 1994 and 1997, said the report. But the overall homeownership rate for minorities is only 46 percent, compared to the 72 percent homeownership rate for whites. Increased employment and low interest rates have made it easier for people to become homeowners, according to Nic Retsinas, director of the center. In addition, lenders are required under the Community Reinvestment Act to provide discount loans for low-income buyers. These loans give first-time homebuyers the option of buying a home instead of renting. The most popular choice among these buyers is single-family homes.

"Sales of Existing Homes Leap 22 Percent in Area"
Baltimore Sun (09/11/98) P. 1C; Nusgart, Robert

Existing home sales in the Baltimore metropolitan area increased 22.78 percent in August from the same period last year, according to the Metropolitan Regional Information System and the Anne Arundel Multiple List. City sales increased 40.43 percent, and every jurisdiction showed an increase in sales, including a 24.4 percent rise in Carroll County. The downtown market was especially strong, as inventories are lower and prices have risen. A 15 percent increase in the number of pending contracts indicates that the market will likely remain strong. However, Greater Baltimore Board of Realtors president Gilbert D. Marsiglia warns that sales could eventually decline because of the stock market's uncertainty. While lower-end buyers should benefit from low interest rates, buyers of homes priced over $400,000 could be affected by stock market declines.

"Ryan Homes Celebrates Golden Anniversary"
Washington Times (09/11/98) P. F33

Ryan Homes is scheduled to begin its 50th anniversary celebration festivities this weekend at each of its home construction sites in Prince George's and Charles counties in Maryland. The company, which was founded in Pittsburgh in 1948, today builds homes in 10 states.

"Congressman Rick Lazio is Featured Speaker at Roslyn National Mortgage Corporation's Free Program"
Business Wire (09/11/98)

Roslyn National Mortgage Corporation, one of the nation's leading residential mortgage originators, is sponsoring an interactive program on October 15 for Long Island home buyers. The free seminar, which will be linked to three sites by the Internet and videoconferencing equipment, will feature discussions on the home buying process, mortgage applications, closing transactions, and financial tips. Both Congressman Rick Laizo and Bill de Blasio, of the New York State Office of the Department of Housing and Urban Development will also be present for questions and advice. At the conclusion of the program, participants may meet with a personal bank representative to discuss financial savings plans and mortgage options. Access to an Internet chat-line featuring both de Blasio and Congressman Laizo will also be available at www.glynn.com.

"Housing Policy Must Address the Needs of All"
Boston Globe (09/04/98) P. A17; Tracy, Susan

The high-cost of housing in Massachusetts has gotten the attention of Susan Tracy, a Democratic candidate for Congress in the 8th District of the state. When consumers are spending more on housing, that means that less money is going to local businesses, which hurts the overall economies of neighborhoods. "Our country need a common-sense housing policy that recognizes the unique pressures on urban areas and the needs of our poor, our elderly, and our disabled," writes Tracy. This housing policy would include a stronger Community Reinvestment Act that requires lenders and other financial institutions to report the demographics of its borrowers. Tracy would also like see a housing policy that seeks to expand the Low Income Housing Tax Credit Program and expand the Housing IRA program by allowing for larger annual tax deductions on first home savings.

"State Farm Will Restore Coverage--But Not Here"
Miami Herald (09/05/98) P. 1C; De Lollis, Barbara

Homeowners in Miami-Dade, Broward, Palm Beach, Hillsborough, and Pinellas counties will not have their hurricane coverage restored by State Farm. The policy changes--filed on Wednesday by the largest insurer in Florida to restore coverage--will not affect the South Florida counties. The coverage restriction "was one of the things we were trying to do to control our exposure to hurricane losses," said Tom Haggerty, spokesman for State Farm. He added that the company has lowered its exposure in 62 of the 67 counties to the point where it is able to remove the restrictions.

"Aging Housing Stock has Homeowners Hammering, Sawing, Demolishing, and Adding"
Chicago Tribune (09/06/98) P. 16-1; Beatty, Allison E.

A number of factors are causing a growing number of homeowners across the country to remodel their homes. Over the last five years, the remodeling industry has grown significantly and could reach $121 billion this year, according to the U.S. Census Bureau. One of the main factors is an aging housing stock, particularly in the Northeast and Midwest. "Houses designed and built 50 years ago don't work well with today's families," said Orren Pickell of Orren Pickell Builders Inc. In addition, many families are simply choosing to expand the size of their homes, and a strong economy and low interest rates are allowing them to do so. Another factor is the growing number of families that are moving, according to the National Association of Realtors. These families will often make improvements to their homes before selling them so they will be marketable. In other cases, families choose to remain in their homes and remodel them rather than going through the hassle of moving. The most common remodeling projects involve kitchens, bathrooms, and room additions. In Chicago, new construction has helped the building industry expand, with additional activity occurring in houses more than 15 years old.

"Internet Opens Door for More '90s Home Sales"
Atlanta Business Chronicle Online (08/31/98) ; Heffernan, Tony

Real estate professionals say that the Internet has become particularly helpful when they are working with clients who are relocating. According to Terry Morris, executive vice president and general manager of Atlanta metropolitan area based Northside Realty, relocators have a more convenient opportunity to survey the homes in the market that they plan to move to as a result of the Internet. Amy Norman, vice president of marketing at the Atlanta areas' Harry Norman Realtors, agrees. "You can have a virtual tour. Relocators already have a shopping list of the houses they want to see." Agents and the relocating clients no longer have to drive around the city all day looking at homes because the Internet enables these prospective buyers to obtain enough information on residences so that they can select the homes that they want to see.

"Crowns, Pritzkers Dig Into Land Development Biz"
Crain's Chicago Business (08/31/98) Vol. 21, No. 35; P. 3; Corfman, Thomas A.

Land development requires patience and deep pockets, both of which the Chicago families of Crown and Pritzker have in abundance. Stephen Fennell, vice-president of Pritzker Realty Group L.P., says, "If we could start one new project every three years, that would be aggressive." Model homes are finally beginning to rise on Valley Lakes, their 865-acre, 1,828-unit project was launched in 1971. Meanwhile, over a 25-year period, the Crown family's Aurora Venture has started grading land for its Thornwood development in South Elgin, Ill. Good land is difficult to find, and much of the risk in housing construction is the developer's responsibility, according to Leon Jaffe of the Buffalo-based Zale Group Inc. Developers must consider regulatory requirements and environmental approvals, in addition to dealing with zoning issues, impact fees, and annexation. But, with the risk comes the profits. Two Texas-based construction firms--D. R. Horton and Centex Corp.--will build the 80 homes of Pritzker's Valley Lakes, which will retail at prices between $157,000 and $208,000.