Bread & Butter: Mill Valley's Passot passionate about foie gras and freedom - Marin Independent Journal
What do you think about California's upcoming ban on foie gras?
Housing Crisis to End in 2012 as Banks Loosen Credit Standards | LinkedIn
Great news if it really does happen!
Delinquencies and foreclosures drop
The percentage of delinquent mortgages declined and fewer loans were in foreclosure in the last quarter of 2011, says the Mortgage Bankers Association.
About 7.58 percent of outstanding mortgages were past due in the fourth quarter, a decline of 41 basis points on the seasonally adjusted delinquent rate. When compared to the first quarter of 2010, when the delinquency rate peaked at 10.1 percent, it is a significant improvement.
But we're still only halfway through the problem, says Jay Brinkmann, MBA’s chief economist. Prior to the recession, the delinquency rate was about 5 percent, according to the MBA.
Another good sign is the combined percentage of loans that were in foreclosure or at least one payment past due was 12.63 percent, a 10 basis point decrease compared to the third quarter.
Lenders also started fewer foreclosures in the last quarter. Foreclosure actions were started on 0.99 percent of loans, down 9 basis points compared to the third quarter and 28 basis points lower than the fourth quarter of 2010.
"Mortgage performance continued to improve in the fourth quarter, reflecting the improvement we saw in the job market and broader economy," Brinkmann says. "The total delinquency rate and foreclosure starts rate decreased and are back down to levels from three years ago."
Delinquency rates and foreclosure starts fell in almost all types of loan, including prime, subprime and ARMS. The exception was FHA loans, which saw an increase in delinquency and foreclosures
"Part of the reason is that the FHA book of business has shown rapid growth," he says. "And purchase loans originated in 2008 and 2009 are only now entering the peaks of a normal delinquency curve.
Before the crisis, FHA-insured loans accounted for about 3 percent of all mortgages. These days, FHA loans account for about 30 percent of the market, the MBA says.
More than half of all mortgages in foreclosure are concentrated in a handful of states: California, Illinois, New York and New Jersey.
Follow me on Twitter @Polyanad
They have dropped for now. However I fear what might come in the future! I wish I could say it was all almost over!
Top 100 Largest Banks - Defaulted Loan Portfolios and REOs Statistics
[ Home | Apply | Loan Types | Faqs | Investors | Contact | Links ]Top 100 Largest Banks - Defaulted Loans & REOs
The table below is a list of the Top 100 largest banks measured by total assets. Also the amount of REO assets (real estate owned) held, and Non Current Loans (defaulted loans). Also total default rate of the loans as a percentage, based on non-current loans / assets. Also adjusted non-current loans as a percentage of assets, where non-current assets are adjusted by subtracting out non-current loans which are wholly or partially insured by the US government.
# Bank Name Total Assets REO - Real Estate Owned Noncurrent loans and leases REO / Assets NC Loans / Assets Adj NC Loans / Assets (000s) (000s) (000s) 1 Bank of America, National Association 1,496,322,329 2,874,270 60,209,602 0.19% 4.02% 3.07% 2 Wells Fargo Bank, National Association 1,065,890,000 3,758,000 59,330,000 0.35% 5.57% 3.98% 3 JPMorgan Chase Bank, National Association 1,674,523,000 1,832,000 46,703,000 0.11% 2.79% 2.14% 4 Citibank, National Association 1,171,094,000 1,290,000 30,340,000 0.11% 2.59% 2.04% 5 PNC Bank, National Association 254,518,132 734,004 11,411,333 0.29% 4.48% 3.65% 6 U.S. Bank National Association 277,509,284 1,726,653 9,427,352 0.62% 3.40% 1.67% 7 SunTrust Bank 160,993,399 767,681 6,818,747 0.48% 4.24% 3.35% 8 Wells Fargo Bank South Central, National Association 37,737,000 43,000 2,428,000 0.11% 6.43% 6.39% 9 OneWest Bank, FSB 27,957,076 422,533 2,334,987 1.51% 8.35% 1.67% 10 MidFirst Bank 12,365,241 87,672 2,305,021 0.71% 18.64% 2.66% 11 ING Bank, fsb 91,272,405 130,065 1,752,666 0.14% 1.92% 1.92% 12 Capital One, National Association 123,046,451 268,290 2,804,345 0.22% 2.28% 2.27% 13 Bank of America, Rhode Island, National Association 22,326,426 - 1,578,575 0.00% 7.07% 7.07% 14 Branch Banking and Trust Company 157,652,005 1,716,883 4,950,042 1.09% 3.14% 1.92% 15 HSBC Bank USA, National Association 183,562,481 76,180 3,373,945 0.04% 1.84% 1.82% 16 E*TRADE Bank 44,290,766 121,887 1,653,716 0.28% 3.73% 3.73% 17 Flagstar Bank, FSB 14,323,245 1,115,347 1,461,535 7.79% 10.20% 6.80% 18 BankUnited 11,463,601 149,789 1,168,693 1.31% 10.19% 0.00% 19 Bank of America California, National Association 26,656,738 - 1,062,694 0.00% 3.99% 3.99% 20 Citicorp Trust Bank, fsb 18,012,669 14,482 1,137,396 0.08% 6.31% 6.29% 21 Bank of America Oregon, National Association 14,736,199 - 764,869 0.00% 5.19% 5.17% 22 Hudson City Savings Bank 61,106,025 19,563 744,871 0.03% 1.22% 1.15% 23 Fifth Third Bank 110,801,047 398,933 3,589,499 0.36% 3.24% 3.05% 24 The Huntington National Bank 51,418,039 151,090 1,940,280 0.29% 3.77% 3.53% 25 Sovereign Bank 73,394,090 90,235 2,242,645 0.12% 3.06% 3.06% 26 Regions Bank 133,186,492 600,810 4,708,015 0.45% 3.53% 3.47% 27 Firstbank of Puerto Rico 18,839,328 73,444 1,796,680 0.39% 9.54% 9.15% 28 Banco Popular de Puerto Rico 22,865,000 112,000 1,816,000 0.49% 7.94% 7.12% 29 RBS Citizens, National Association 114,492,129 53,001 1,830,573 0.05% 1.60% 1.53% 30 Manufacturers and Traders Trust Company 67,458,977 95,352 1,537,466 0.14% 2.28% 1.92% 31 First Tennessee Bank, National Association 25,713,088 122,061 1,095,398 0.47% 4.26% 4.08% 32 Astoria Federal Savings and Loan Association 20,020,076 50,319 427,314 0.25% 2.13% 2.13% 33 M&I Marshall and Ilsley Bank 50,065,908 426,180 1,825,733 0.85% 3.65% 3.65% 34 Compass Bank 65,147,452 348,174 2,796,504 0.53% 4.29% 3.42% 35 Metlife Bank, National Association 13,572,632 12,179 347,043 0.09% 2.56% 0.59% 36 The Bank of New York Mellon 162,064,000 5,000 787,000 0.00% 0.49% 0.49% 37 Ally Bank 55,172,742 7,800 350,150 0.01% 0.63% 0.63% 38 Union Bank, National Association 85,053,226 45,492 1,436,470 0.05% 1.69% 1.68% 39 Harris National Association 43,395,792 16,189 688,765 0.04% 1.59% 1.58% 40 Bank of the West 61,178,361 145,598 1,619,911 0.24% 2.65% 2.64% 41 TD Bank, National Association 148,084,280 72,482 1,219,741 0.05% 0.82% 0.79% 42 TCF National Bank 18,198,488 101,436 372,640 0.56% 2.05% 2.04% 43 Third Federal Savings and Loan Association of Cleveland 10,688,238 18,195 224,382 0.17% 2.10% 2.10% 44 New York Community Bank 39,888,490 60,701 846,826 0.15% 2.12% 1.69% 45 Washington Federal Savings and Loan Association 13,791,807 237,013 289,720 1.72% 2.10% 2.10% 46 KeyBank National Association 91,953,232 130,843 2,833,239 0.14% 3.08% 3.08% 47 Webster Bank, National Association 17,981,329 23,821 349,563 0.13% 1.94% 1.94% 48 Westernbank Puerto Rico 10,797,345 84,255 1,556,219 0.78% 14.41% 14.41% 49 RBC Bank (USA) 26,115,214 187,621 1,320,454 0.72% 5.06% 5.02% 50 Associated Bank, National Association 22,809,664 61,380 1,197,314 0.27% 5.25% 5.06% 51 Northern Trust, National Association 12,431,409 31,011 168,921 0.25% 1.36% 1.36% 52 Citizens Bank 11,049,897 44,008 503,808 0.40% 4.56% 4.26% 53 Comerica Bank 56,965,482 93,310 1,229,040 0.16% 2.16% 2.13% 54 Whitney National Bank 11,565,070 60,731 454,074 0.53% 3.93% 3.92% 55 Arvest Bank 11,304,192 65,884 334,153 0.58% 2.96% 2.94% 56 Deutsche Bank Trust Company Americas 45,147,000 17,000 757,000 0.04% 1.68% 1.68% 57 Zions First National Bank 17,195,645 164,826 713,776 0.96% 4.15% 4.03% 58 People's United Bank 21,357,102 26,220 252,682 0.12% 1.18% 1.14% 59 Carolina First Bank 12,410,757 142,632 377,598 1.15% 3.04% 3.04% 60 State Farm Bank, F.S.B. 15,903,221 7,894 218,280 0.05% 1.37% 1.37% 61 The Northern Trust Company 63,109,667 14,184 152,860 0.02% 0.24% 0.23% 62 Citizens Bank of Pennsylvania 30,927,173 4,049 334,488 0.01% 1.08% 0.97% 63 First-Citizens Bank & Trust Company 18,486,817 124,569 101,402 0.67% 0.55% 0.55% 64 Susquehanna Bank 13,628,538 20,697 268,075 0.15% 1.97% 1.95% 65 California Bank & Trust 11,240,218 65,222 541,490 0.58% 4.82% 2.02% 66 BancorpSouth Bank 13,232,594 59,268 223,401 0.45% 1.69% 1.64% 67 Bank of Oklahoma, National Association 16,643,644 63,969 252,647 0.38% 1.52% 1.47% 68 Charles Schwab Bank 45,885,344 2,533 33,389 0.01% 0.07% 0.07% 69 Bank of Hawaii 12,413,175 3,192 54,452 0.03% 0.44% 0.44% 70 The PrivateBank and Trust Company 12,640,063 76,585 380,047 0.61% 3.01% 3.01% 71 East West Bank 20,231,320 85,260 822,904 0.42% 4.07% 0.86% 72 Valley National Bank 14,452,652 12,466 95,647 0.09% 0.66% 0.61% 73 First Hawaiian Bank 14,258,879 3,392 41,042 0.02% 0.29% 0.29% 74 Silicon Valley Bank 13,434,468 - 50,833 0.00% 0.38% 0.38% 75 Amegy Bank National Association 11,332,248 43,109 566,838 0.38% 5.00% 4.98% 76 Firstmerit Bank, National Association 12,306,555 22,692 131,775 0.18% 1.07% 1.07% 77 First Niagara Bank 14,863,116 9,935 77,920 0.07% 0.52% 0.49% 78 City National Bank 19,744,141 135,551 674,545 0.69% 3.42% 1.77% 79 Commerce Bank, National Association 17,859,861 14,333 138,335 0.08% 0.77% 0.72% 80 Cathay Bank 11,854,833 111,858 322,217 0.94% 2.72% 2.71% 81 First National Bank of Omaha 11,433,327 18,400 246,197 0.16% 2.15% 2.14% 82 USAA Federal Savings Bank 40,407,499 1,822 243,184 0.00% 0.60% 0.60% 83 Discover Bank 63,056,053 - 1,441,536 0.00% 2.29% 2.27% 84 The Frost National Bank 16,803,603 26,456 179,207 0.16% 1.07% 1.02% 85 TD Bank USA, National Association 12,066,492 - 1,289 0.00% 0.01% 0.01% 86 Wells Fargo Bank Northwest, National Association 17,118,000 - 399,000 0.00% 2.33% 0.80% 87 Goldman Sachs Bank USA 89,744,000 - - 0.00% 0.00% 0.00% 88 UBS Bank USA 29,342,330 - 3,404 0.00% 0.01% 0.01% 89 GE Money Bank 18,477,070 (28,318) 449,049 -0.15% 2.43% 2.43% 90 Morgan Stanley Bank, National Association 72,292,000 - 500,000 0.00% 0.69% 0.69% 91 FIA Card Services, National Association 212,895,604 - 7,137,366 0.00% 3.35% 3.35% 92 Chase Bank USA, National Association 146,310,819 - 4,153,857 0.00% 2.84% 2.84% 93 Barclays Bank Delaware 12,535,645 - 331,766 0.00% 2.65% 2.65% 94 Citibank (South Dakota), N.A. 157,935,238 - 3,894,811 0.00% 2.47% 2.46% 95 Capital One Bank (USA), National Association 73,205,207 - 1,780,633 0.00% 2.43% 2.43% 96 USAA Savings Bank 13,369,757 - 160,237 0.00% 1.20% 1.20% 97 American Express Bank, FSB. 32,979,716 - 378,086 0.00% 1.15% 1.15% 98 American Express Centurion Bank 26,369,286 - 233,263 0.00% 0.88% 0.88% 99 State Street Bank and Trust Company 149,611,355 - 273,731 0.00% 0.18% 0.18% 100 Bank of China 11,458,224 - - 0.00% 0.00% 0.00% Source of Data: http://www2.fdic.gov/sdi/main.asp As of 2010 Q1, Downloaded 6/2/2010
Note: This table is not at all an accurate measure in itself of troubled banks or the health or soundness of a bank. For a better indicator of bank soundness, please refer to the Texas Ratio link below.
Other Useful Banking Data and Banking Info:
REO Listings of Bank Owned Properties of all Major Lenders / Government Agencies
FDIC Failed Banks, Bank Watch List and Bank Ratings
Top 25 Banks Defaulted Loan Portfolio - SFR 1-4, 1st Mortgage Portfolio
Just in case you were interested!
California Housing Market Braces for Facebook Millionaires
“I’m kind of worried — a thousand millionaires are going to be buying houses!” Connie Cao said as she and her family toured a home in a good school district here.
Her husband, Jared Oberhaus, was more optimistic. “Maybe sellers are sitting on their houses now, waiting for Facebook, and they’ll all come on the market at the same time,” he said.
It will be some time before the first Facebook shares are sold to the public, and even longer before Facebook’s employees are able to turn their paper wealth into cash and officially take their places as the newest members of the 1 percent. But the mere anticipation of the event may pour a little kerosene onto what is already a fairly hot local real estate market.
When Ken DeLeon, a Silicon Valley real estate agent, recently sold an 8,000-square-foot house to a Facebook employee, he said, the movers showed up at the client’s old 1,000-square-foot home and asked, “Did you win the lottery?”
Silicon Valley has been good to Mr. DeLeon, a former lawyer, who said he sold $275 million worth of homes last year, and who is finishing up a memoir about overcoming illness, injury and loss that he calls “Why Do Bad Things Happen to Sexy People?”
Even after some of the air went out of the housing bubble in the Bay Area in recent years, prices in the most desirable parts of San Francisco and Silicon Valley stayed buoyant enough to remain out of reach for most people. A report on 2011 housing prices by Coldwell Banker, the real estate company, found that 8 of the nation’s 20 most expensive markets were in Silicon Valley or the Bay Area. Mr. DeLeon said Palo Alto, with its limited supply, had remained remarkably strong — and could hit new peaks this year.
In recent weeks, he said, there have been signs that the market has been heating up more: 10 homes in Palo Alto sold for more than their asking prices last month, some by large amounts. Now, with the long-expected Facebook public offering a step closer to reality, Mr. DeLeon said he expected to see several things happen: some sellers may keep their homes off the market until they judge the time is right, some speculators may snap up old houses to tear down and rebuild, and some buyers may feel pressure to make offers before the deluge hits.
A steady stream of would-be buyers walked through the open house Mr. DeLeon held here on Sunday — a 2,325-square-foot home with a small backyard and an asking price of nearly $1.8 million. They checked out the sunken Japanese-style dining room and the heated concrete floors with leaf inlays. Many got lattes from the barista stationed in the backyard.
Mr. DeLeon said he already had plans to market to Facebook employees. One strategy: he intends to buy ads on Facebook. “It’s amazing how you can target them,” he said.
I hope that some of these Facebook Millionaires decide to come to Marin County!
Marin county statistics as of Jan 31, 2012
The total number of listings of single family homes tells a lot about our local real estate market. 430 this year vs. 704 a year ago!
The 3.8% Tax Is Not a Real Estate Transfer Tax
By Robert Freedman, Senior Editor, REALTOR® Magazine
Shortly after the federal government enacted sweeping healthcare reform earlier this year, there was considerable concern over a last-minute addition to the legislation: a 3.8 percent tax on investment income of upper-income households to help shore up Medicare. The tax takes effect in 2013.
Among the concerns expressed among consumers and business people, including real estate professionals, both then and today, is that the tax amounts to a transfer tax on real estate. Not true, NAR Director of Tax Policy Linda Goold says.
Here’s how the tax works. For individuals earning $200,000 a year or more and married couples earning $250,000 a year or more, certain investment income above these income levels might be subject to the 3.8 percent tax on a portion of that income. I say “might” because whether the tax applies or not depends on many factors having to do with the kind and amount of the investment income the household receives.
Investment income includes capital gains, dividends, interest payments, and, for those who own rental property, net rental income.
Importantly, the $250,000 (for individuals) and $500,000 (for married couples) capital gain exclusion on the sale of a principal residence remains in place. So, if you’re a married household that sold a house for a $500,000 gain (that’s gain, not sale proceeds), that amount remains excluded from your income calculation.
Let’s take a look at a married couple that has $325,000 in adjusted gross income (AGI), plus $525,000 in capital gains from the sale of their house.
This household would be considered upper-income by most standards. Not only is their income relatively high, at $325,000 (adjusted gross income, or AGI), but they’re receiving a $525,000 gain on their house sale. Presumably, they bought their house years ago and it’s appreciated over the years, so upon selling it, their gain is a relatively high $525,000.
For this household, only $25,000 in investment income would be subject to the 3.8 percent tax. That would amount to $950. That’s because it’s the $25,000 over the $500,000 capital gains exclusion that’s taxable.
Before they would know that, though, they would have to do a calculation that involves their adjusted gross income. They would have to add their capital gain of $25,000 to the amount of their income above the $250,000 income trigger (for married couples). Since their income is $325,000, they would add the $25,000 to $75,000 ($325,000 – $250,000), which would equal $100,000. Then they would compare the $25,000 to that $100,000, and apply the tax to the lesser of the two, which is the $25,000. Thus, $25,000 x 3.8% = $950.
So, you have a household that had income of $850,000 for the year, and its tax on investment equaled $950.
This is a simplification. Other tax issues could come into play. But it shows that the tax applies to just a portion of investment income for certain upper-income households and that the capital gains exclusion remains untouched.
Nobody likes taxes, and this tax was inserted into the legislation at the 11th hour as a “pay-for,” that is, as a revenue generator to help offset some of the costs of the reform. It’s expected to generate $325 billion over eight years.
NAR has prepared a brochure that looks at how the tax might apply under eight income scenarios: 1) sale of principal residence (which we just looked at), 2) sale of a non-real estate asset, 3) gain, interest, and dividend from securities, 4) real estate investment income, 5) rental income as sole source of earnings, 6) sale of second home with no rental use, 7) sale of inherited investment property, and 8. purchase and sale of investment property.
You can download the brochure for free. It’s written in plain language and I think you’ll find it organized efficiently, so you can see at a glance the potential considerations for the different scenarios. Of course, it’s just guidance: each household’s situation will be different, so you would want to suggest to your customers and clients that they consult with a tax advisor to make sure the tax is applied correctly in their case.
You can also get a good sense of how the tax works in the video above, in which Goold walks through a sample income scenario.
There is much confusion about this tax that will take place in 2013 so here is a good outline of what it involves.
InmanNext | 5 Things You Need to Know About Facebook’s IPO – A Wake up Call for Realtors
What a great article! I'm glad I have been on the Facebook bandwagon for over a year.


