STANLEY HOME CENTER

The Conference Board’s employment trends index reflected continued softness in the U.S. job market during March, as the reading dipped to 90.1 from 92.2 in February. While the data suggests that more jobs are at risk, the rate of decline has slowed from previous month, indicating that the heaviest phase of job losses may be over.

From “Worst of Job Losses May Be Over”
Investor’s Business Daily (04/07/09) P. A2

Freddie Mac reports a drop in the 30-year fixed mortgage rate to 4.98 percent during the week ended March 19 from 5.03 percent the prior year, marking the lowest rate since 4.96 percent in mid-January. Experts say rates could fall further in response to the Federal Reserve’s announcement that it will add $1.2 trillion to the economy to alleviate the credit crisis.

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From “Mortgage Rates Sink, Likely to Fall Further”
Tulsa World (OK) (03/20/09)

The Federal Reserve has committed to purchase up to $300 billion in Treasuries and, now, an additional $750 billion in agency mortgage-backed securities, bringing its bond purchase commitment to $1.25 trillion. Officials released a statement following their policymaking session saying that the moves are meant “to provide greater support to mortgage lending and housing markets.” Weiss Research property analyst Mike Larson says the purchases by the central bank could lower the 30-year fixed mortgage rate to 4.5 percent, marking the lowest level since 4.7 percent in 1945.
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From “Mortgage Rates May Fall to Lowest Since WWII on Fed Purchases”
Bloomberg (03/19/09) Louis, Brian

Despite a nationwide slump in the residential property markets, sales of modern prefabricated homes are on the rise. The movement toward green building and sustainable living is driving the popularity of efficient prefab dwellings constructed by companies such as EcoSteel Building Systems. The company is in the process of completing five prefab steel homes in as many states, with three additional projects about to get underway. EcoSteel President Joss Hudson believes the prefab business can create new jobs and nurture the competitiveness of the U.S. economy. “The prefab product shift out of traditional construction methods could be the next industrial base that brings the U.S. back into a force of manufacturing and export,” according to Hudson. “If we could begin supplying buildings to the rest of the world, U.S. Automakers could quickly add a prefab housing division to their factories. The Prefab Building Movement is a threat to most builders; in my opinion, 2009 marks the death of carbon-copy suburban architecture know as The McMansion.”

From “EcoSteel: Prefab Housing Defies Real Estate Downturn”
Real Estate Weekly (02/28/09)

Abstract News © Copyright 2009 INFORMATION, INC.

(NAPSI)-For people ready to make the commitment and buy a home, the timing couldn’t be better. Buying conditions
are more favorable than they’ve been in years:  Home choices are abundant, affordability has improved, mortgages
are available and interest rates are historically low. Even better, a temporary $7,500 tax credit is also available for
first-time homebuyers.  The bad news is that these incentives won’t last forever.  “Homeownership is an investment in
your future.  For people in a good position to purchase a home, buying now is a smart move,” says Lawrence Yun, chief economist for the National Association of Realtors®.  “Current market conditions are ideal, creating a window of opportunity for buyers who want to become homeowners.”  Homeownership isn’t just financially rewarding–it also creates stability and provides many social benefits.  Purchasing a home means investing in the community.
People have a greater stake in what happens in their local area when they own rather than rent.  Families and
neighborhoods build lifelong bonds that create strong foundations for future generations.  “Studies have shown children of homeowners are stronger academically,” adds Yun.  “There’s a certain comfort andsecurity children feel knowing they have a stable place to call home.”  Homeownership also contributes to safer communities because owners have a lot more to lose financially than those who rent.  Homeowners are much morelikely to participate in local crime prevention programs and be involved in local civic affairs.  A recent study found that eight out of 10 economists agree that home prices will rise again in the next five years.  Waiting too long could cost you the home of your dreams and you could find yourself looking back with regret, wondering why you didn’t buy when you had
the chance.  A Realtor® can explain market conditions and help you take advantage of real estate opportunities. For more information, to search home listings or find a Realtor® in your area, visit www.realtor.com.   With low interest rates and an abundance of available homes, it can be a great time to turn those dreams of homeownership into areality.

President Barack Obama has announced a housing plan that would spend $75 billion to modify the loans of 4 million homeowners and would make it easier for 5 million borrowers with little equity to refinance into more affordable mortgages. The White House also wants to provide an additional $200 billion in financial backing to Fannie Mae and Freddie Mac, which theoretically would shore up the mortgage market as a whole. The financial industry was cautiously receptive to the housing plan, but some analysts said it would not help many borrowers facing foreclosure and millions more who owe more than their home is worth. According to Mark Zandi, chief economist at Moody’s Economy.com, the Obama foreclosure plan –by restricting assistance to loans that are no more than 5 percent over the current market value of the residence — would help fewer than 1 million of the 14 million homeowners who are “under water” on their mortgages.
From “$275 Billion Plan Seeks to Address Crisis in Housing”
New York Times (02/19/09) P. A1; Stolberg, Sheryl Gay; Andrews, Edmund L.

One of the first homes completed for Make It Right (MIR), a not-for-profit foundation launched by Brad Pitt and Hollywood producer Steve Bing with $10 million of their own money, is a modular design by Los Angeles-based architect Nora Gordon. With her firm Graft, the architect designed a compact home that meets the target cost of $150,000. The prefabricated home, constructed in a North Carolina factory, will be donated to a displaced family in New Orleans. It sits on pillars to protect against future tropical storm flooding or damage.

From “New Orleans’ Experimental Homes Unveiled”
Toronto Globe & Mail (Canada) (02/12/09) Mays, John Bentley

The Obama administration is expected to unveil a foreclosure-prevention initiative on Feb. 18 that includes carrots and sticks to encourage lenders to lower monthly payments for struggling borrowers, perhaps by several hundred dollars. For example, Obama is likely to offer government subsidies for reducing a borrower’s interest rate; but he also could push for legislation that would allow bankruptcy judges to restructure mortgages. The string of voluntary loan modification programs administered to date have failed to have much of an impact on the continuing flood of foreclosures. The number of loans in foreclosure set a new record of 2.3 million in 2008, with industry watchers projecting that the rate will rise to at least 3 million this year in the absence of a government bailout.

From “Obama Plan on Housing Said to Push on Lenders”
New York Times (02/17/09) P. B1; Andrews, Edmund L.