Wells Fargo expects to make fewer U.S. home loans this quarter

Wells Fargo expects to make fewer U.S. home loans this quarter

A Wells Fargo sign is seen outside a banking branch in New York July 13, 2012. REUTERS/Shannon Stapleton

By Peter Rudegeair

Mon Sep 9, 2013 11:17am EDT

(Reuters) – Wells Fargo & Co, the largest U.S. mortgage lender, expects to make 30 percent fewer home loans this quarter due to rising interest rates, its financial chief said on Monday.

The expected decline underscores how rising U.S. mortgage rates are cutting in to banks’ profit. Wells Fargo’s shares were down 1.2 percent at $40.94 on Monday morning.

The fourth-largest U.S. bank estimates it will make $80 billion of home loans in the third quarter compared with the $112 billion it made in the second quarter, Chief Financial Officer Tim Sloan said at a conference hosted by Barclays Plc in New York.

That would mark the first quarter since mid-2011 that Wells Fargo did not make at least $100 billion in home loans.

Customers’ demand for refinancing their home loans has fallen 63 percent from the peak in early May, according to the Mortgage Bankers Association refinance index.

As mortgage revenue declines, the bank is cutting costs in the business, a process that usually takes one to two quarters, Sloan said. On August 21, the bank announced it would lay off 2,300 employees in its mortgage unit as higher interest rates were causing refinancing activity to slow.

The San Francisco-based bank made more than one of every five U.S. home loans in the second quarter and collected payments on nearly as many, according to Inside Mortgage Finance, an industry publication.

Wells Fargo believes its profitability is not solely tied to the mortgage lending business. The bank boosted its earnings per share in each of the previous 14 quarters, and in six of them mortgage origination revenue declined, Sloan said.

Gains elsewhere at Wells Fargo could help offset the declines in mortgage income. The bank expects to release more in loss reserves than the $500 million it released in the second quarter, thanks to improved credit performance, Sloan said.

(Editing by Matthew Lewis)

 

 

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Boulder Neighborhood Guide: Gunbarrel

 

Boulder Neighborhood Guide: Gunbarrel

gunbarrel

Gunbarrel, named after a historic local stagecoach route, is a neighborhood located northeast of Boulder proper and one of the fastest growing parts of the region. With expanding bike paths, rolling hills and affordable housing, Gunbarrel is beginning to look a lot like home for many people.

History: Gunbarrel came about mainly due to IBM. Before that time, Gunbarrel consisted of farmland. But when IBM’s plant was built in Boulder County in 1965, they needed housing for the many executives and employees that they brought in to work at the new facility. What better place to build than right across the road from the company headquarters? With the new development of houses, it was also decided to move the Boulder Country Club to it’s current location in the heart of Gunbarrel. This area is also home to one of the top advertising agencies in the nation, Crispin Porter + Bogusky, which adds to the area’s population.

Housing: There are two different advanced degree programs located in Gunbarrel, the Boulder College of Massage Therapy and the Southwest Acupuncture College. This means that there is no shortage of rental properties, both condos and townhomes, to be found. And because Gunbarrel is a little further from downtown, many of the rental prices you find here will be cheaper than counterparts in Boulder proper. The same holds true for housing sales. The average price for a single-family home in Gunbarrel is mid-$300′s, significantly lower than Boulder proper, and most homes were built in the 1970′s.

Restaurants and Shopping: Gunbarrel is starting to blossom with a variety of retail options. The many non-retail companies that have been relocating there are to thank for this.  In addition to a major grocery store, there’s a sushi place, a deli, and a couple of coffee shops.  And let’s not forget there is a major hotel currently under construction and set to open in early 2014. With the growth of the area, Gunbarrel will be unrecognizable in five years’ time.

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Family & Fitness: Surrounded by Open Spaces, Gunbarrel boasts many opportunities to enjoy the outdoors. There is the Boulder Reservoir, right across Diagonal Highway, and home to many events including races, festivals, and leisurely summertime picnics. Hop on a bicycle to hit the trails that head west into Boulder or go to the east, making a path out to Longmont. If that’s not enough activity for you, there’s the golf course or Twin Lakes Open Space to quench your thirst for fitness.

Schools: Heatherwood Elementary, Platt Junior High, Boulder High

Quirks: With a massage school and an acupuncture school located in Gunbarrel, you have all your alternative healing practitioners within walking distance. Additionally, Celestial Seasonings has their tea operations based in Gunbarrel. So if you have a thing for their peppermint room or just can’t get enough of the Zinger blend, then this neighborhood might be your cup of tea.

Major Street Boundaries: Hwy 119 (the Diagonal) on the west, Jay Rd on the south and 75th on the east

Gunbarrel provides the best of both worlds…living close to Boulder without any of the traffic, parking or real estate prices. You get a Boulder zip code without any of the pretense. Some may scoff at the neighborhood but with more and more happening in Gunbarrel, they won’t be laughing for long.

www.YourBoulder.com

 

 

John Marcotte

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Antique Boutique

Antique Boutique

September 28 – October 6, 2013

Historic Boulder is hosting an upscale pop-up Antique Boutique this month at the corner of 9th and Pearl streets. We will offer fine furniture, lamps and lighting fixtures, and trunks from the nineteenth and early twentieth centuries, as well as midcentury dishware sets and chairs, complemented by smaller collectables and other items, such as rare antique children’s books and silver flatware sets. Come find future heirlooms, the perfect holiday gift, or something “new” for your home! All proceeds directly support the next phase of the rehabilitation of the Hannah Barker House, Historic Boulder’s current focus and our most ambitious project to date. Find out more on our website here: http://www.historicboulder.org/the_hannah_barker_house.html.

 

Read the full article here: Antique Boutique

 

 

John Marcotte

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It’s Time to Rebuild Jamestown

 

It’s Time to Rebuild Jamestown

rebuild jamestown

It used to be nestled at the top of a decent bike climb. You could race your friends and swap stories all the way up about how out of shape you were or blame last night’s dinner for your molasses-like speed. You could peel left and head to Ward if you were a glutton for punishment or stay straight (or as straight as the canyon would allow) and find yourself in the idyllic mountain town of Jamestown.

On July 4th, you could join waves of other cyclists and be met at the top with the Jamestown volunteer fire department’s annual pancake breakfast (with bacon for an extra buck or two — ummm, yes?). You could also get suckered in by friends to ride the Super Jamestown route, taking you up and over Jamestown to the Peak to Peak Highway and back into Lyons.

Personally, I only let that suckering happen once. Six hours later. I never said I was fast.

But the floods. Criminy, the floods have wiped out Jamestown. A town is gone, a destination wiped from the map. The former owner of the Jamestown Mercantile even died when his house collapsed.

It’s time, however, to help rebuild Jamestown. So, if you love Jamestown like I do, head on over to Rebuild Jamestown. You’ll be able to read about what they lost and what’s left, along with how you can make a donation to help bring the town back on the map. You can also stop by their new Facebook page for updates.

And sure — they’re getting financial assistance from FEMA andBoulder County, but as their neighbors, it’s the least we can do to chip in and help. The whole town operated on a budget of $56,000 per year and most of us can’t imagine LIVING on a budget like that.

You can make an online donation directly here (be sure to designate REBUILD JAMESTOWN in the drop down menu). The Boulder floods won’t keep us down. Let’s do our part to help our neighbors up the hill we all loved to climb build back up once again.

 

By Erika Napoletano www.YourBoulder.com
 

 

 

John Marcotte

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IRONMAN Boulder 2014

 IRONMAN Boulder 2014

August 3, 2014

 

Register Now
Hotel Reservations

One of the world’s most popular triathlon destinations, this beloved Rocky Mountain town now hosts a full-distance race. Welcome to IRONMAN Boulder.

Nestled at the foot of the imposing Flatirons, Boulder, Colorado is already a wildly popular home-base and vacation destination for world-class triathletes. The city’s health-conscious culture, near-perfect weather and breathtaking natural environment means its destined to be an instant favorite on the IRONMAN circuit.

Boulder’s robust downtown, with its famous pedestrian-only Pearl Street Mall and idyllic Boulder Creek, will provide families and fans an unforgettable race day as they wait for their loved ones to cross the finish line. From five-star hotels to James Beard award-winning restaurants, Boulder’s hotel and dining options are some of the best in the nation.

The race will start at the Boulder Reservoir with a single loop 2.4-mile swim. Once finished in the water, the first transition will start the athletes on a beautiful 112-mile one-loop bike course in the city’s vast open space. The bike will loop around Carter Lake and along the eastern plains of the Front Range before ending downtown at Boulder High School.

The two-loop run course is almost entirely on Boulder Creek Trail, winding along the creek and through city parks. Spectators will have multiple opportunities to cheer on the athletes and the last few steps of the day will take athletes up Pearl Street for a triumphant finish.

Read the entire article here: Ironman 2014

 

 

John Marcotte

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Burgundy Wine Festival

 Burgundy Wine Festival

October 18 – 20, 2013
  • Location: Flagstaff House, Frasca Food and Wine, Hotel Boulderado
  • Admission: $75-$595
  • Contact: Boulder Wine Merchant
  • Phone: 303-443-6761
  • Visit Website
  • Add to Trip Planner

 

For those who have already been bit by the Burgundy bug, this weekend will be a vinous paradise. For anyone new to Burgundy, be ready to fall in love. Once you have the “Burgundy sickness,” the passion for these great wines and phenomenal region will continue to grow. Come join producers, celebrity sommeliers, chefs and wine lovers for a weekend of inspiration, education and deliciousness.

To Benefit Growe Foundation:
The festival has partnered with the Growe Foundation, a local non-profit organization that provides elementary schools with organic vegetable gardens and a Garden to Table program to teach children about healthy eating and caring for the environment in schools. The proceeds from the tasting and seminar will support Growe’s efforts to teach children in our community how their food choices affect the health of their bodies and the health of the planet.

For complete schedule of events and to purchase tickets visit click here.

 

Accommodations:

Hotel Boulderado
2115 13th Street
Boulder, CO 80302
303.530.1513
www.boulderado.com
Discounted room rates during the weekend of October 20th, with mention of the Boulder Burgundy Festival.

Traditional Queen Room: $184 (typically starting at $254)
Pine Street Guest House: $204
Deluxe Room with two Queen Beds: $204
Boulderado King Room: $224
Classic King Room: $244
Elegant One Bedroom Suite: $304
Presidential Suite: $334

Best Western Plus Boulder Inn
770 28th Street
Boulder, CO 80303
303.449.3800
www.boulderinn.com
Discounted room rates Friday, October 18 – Sunday, October 20 with reference code “BURGUNDY.” Call 800-233-8469 to book.

More full article here: Boulder Colorado things to do 

 

John Marcotte

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Foreclosures down 73.7% in state

 Foreclosures down 73.7% in state

This foreclosed home is being sold by Auction.com.

This foreclosed home is being sold by Auction.com.

Total foreclosure activity in Colorado fell by 73.7 percent in August from August 2012, the biggest year-over-year percentage drop in the U.S, according to a report released today byRealtyTrac.

Colorado’s drop is more than twice that of the 33.6 percent for the entire nation, according to the report.

Colorado foreclosure activity dropped 35 percent in August from July, while nationally, total foreclosures fell by 1.78 percent on a month-to-month basis.

RealtyTrac ranked Colorado No. 37th in foreclosure activity.

Before the foreclosure crisis gripped the entire nation about five years ago, RealtyTrac often ranked Denver No. 1.

Nationally, foreclosure activity has now decreased on an annual basis for 35 consecutive months, according to RealtyTrac.

“The foreclosure floodwaters have receded in most parts of the country, but lenders and communities continue to clean up the damage left behind, which means the recent uptick in bank repossessions is a trend that will likely continue into next year,” said Daren Blomquist, vice president at RealtyTrac.

“Meanwhile foreclosure flash floods will continue to hit some markets over the next few months as delayed foreclosure starts are quickly pushed into the pipeline,” Blomquist said. “This was the case with the jump in Nevada foreclosure starts in August.”

InsideRealEstateNews.com

 

 

John Marcotte

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Bonfils Mansion hits market

Bonfils Mansion hits market

  • Sellers are as interesting as the home.

Bonfils Mansion

Bonfils Mansion

The stately and historic Bonfils Mansion in Capitol Hill is on the market for the first time in 17 years.

Or at least three quarters of it is.

It’s complicated.

The French Mediterranean home, with 5,028 square feet of finished space and a total of 6,064 square feet at 707 Washington St., was subdivided into three condominium units in 1985, said Ken Miller, ofKentwood City Properties, who is listing the 105-year-old home for $1.635 million.

Even without re-combining two condo units into one, the home being sold by Furmansky and his wife, Dyana Z. Furmansky, an established environmental journalist and author, is in a class to itself, Miller said.

At the same time, the owners didn’t ignore modern updates, either.

“For example, in 2010 they put in this high-tech, German heating and coolingsystem,” Miller said. “It is very cutting edge and high-tech. It cost $25,000.”

Another example: an elevator connects the basement and the main and second levels.

“ And they have this fabulous William Ohs-designed gourmet kitchen,” Miller said.

The kitchen includes Subzero, Asko and Dacor appliances, an eating area and new Terrazzo flooring.

Other home highlights:

  • The sun-filled living room with French doors on three sides features a Carrera marble wet bar with custom cabinetry, plus a full refrigerator and shelving.
  • An elegant dining room with original details is scaled for large, formal dinner parties.
  • The library is appointed with custom shelving, and the master suite with mountain views is highlighted by a dressing room and sitting area, two marble bathrooms, one with asteam shower and the other with a refrigerator and expansive walk-in closet.

The home also has more than 2,100 square feet of veranda and terraces on three sides  and a huge family room in the finished walk-out basement.

“The basement is zoned so that it could be used as a professional office or an art gallery,” Miller said, about the home that is listed on the National Register of Historic Places.

“The Bonfils House brings a touch of Europe to Denver,” according to the National Register of Historic Places, when it listed the home in 1974.

 

 

For a virtual tour of this home, please visit Bonfils Mansion.

 

 

 

John Marcotte

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Flooding taking toll on tight market

 

Flooding taking toll on tight market

This photo is making the rounds on Facebook and elsewhere on the Web.

This photo is making the rounds on Facebook and elsewhere on the Web.

The torrential rains that damaged or destroyed close to 20,000 homes will have a profound impact on the Front Range housing and rental markets.

“No. 1, this is not just going to effect our market for the next few weeks or a month, but this will have an impact for six months or a year from now,” said Chris Mygatt, president of Coldwell BankerResidential Brokerage in Colorado.

Some people, after dealing with their home insurance companies and the government, will decide to rebuild.

“We don’t have a handle yet on how many people will want to remain a homeowner at that location; that is something we still need to quantify,” he said.

Some may want to remain homeowners, but not at their current locations, he said.

“Existing homes available along the Front Range will become more available, because there will be fewer homes,” he added.

Rebuilding won’t be easy.

Even before the flooding, new home builders already were struggling to find construction workers.

“Now, homebuilders and people who lost their homes will be competing with each other for workers,” Mygatt said. “That is going to mean a lot of new construction jobs available, which will be good for the economy.

“That is maybe one silver lining to this terrible tragedy.”

Also, almost everyone displaced will need some kind of short-term to long-term housing, even if they plan to move back to their exiting home. One woman in Lyons, who was evacuated, for example, said she may not be able to return to her home for a year, even though it escaped any major damage.

“That is going to put a lot of pressure on an already tight apartment rentalmarket,” Mygatt said. InsiderRealEstateNews.com

 

 

 

John Marcotte

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U.S. judge rejects BofA mortgage modification class action

U.S. judge rejects BofA mortgage modification class action

 
A sign for a Bank of America office is pictured in Burbank, California August 19, 2011. REUTERS/Fred Prouser

By Jonathan Stempel

(Reuters) – A lawsuit accusing Bank of America Corp (BAC.N) of reneging on promises to help distressed homeowners modify their mortgage loans, and instead driving them into foreclosure, cannot proceed as a class action, a federal judge has ruled.

While expressing sympathy for borrowers facing a “Kafkaesque bureaucracy” and saying their claims “may well be meritorious,” U.S. District Judge Rya Zobel in Boston said the claims were too different to justify allowing a single, nationwide lawsuit.

Wednesday’s decision is a blow for homeowners accusing the second-largest U.S. bank of failing to comply with the Home Affordable Modification Program (HAMP), a 2009 federal program that gives incentives to mortgage servicers to encourage loan modifications and help people keep their homes.

It also marks the latest fallout from a 2011 U.S. Supreme Court ruling involving Wal-Mart Stores Inc (WMT.N) that has made it harder to sue companies as a group. Class actions can lead to larger recoveries and more far-reaching remedies at lower cost.

“It’s a sad outcome for many thousands of homeowners trying to obtain loan modifications,” said Gary Klein, a partner at Klein Kavanagh Costello, representing the plaintiffs. “Very, very few of them will be able to pursue these issues on their own. Their one hope for justice was through the class mechanism.”

Forty-three individuals and couples from 26 U.S. states accused Bank of America in the three-year-old lawsuit of failing to help them obtain loan modifications to which they were entitled. They had sought to certify 26 classes, one per state.

‘VAST FRUSTRATION’ OF HOMEOWNERS

The case gained notoriety in June when several former employees, in sworn statements the bank called “demonstrably false,” accused the bank of offering $500 bonuses and gift cards to TargetCorp (TGT.N) and Bed Bath & Beyond Inc (BBBY.O) to lie and to stall HAMP applications, because foreclosures or in-house loan modifications were more profitable.

One former employee also said the bank would twice a month conduct a “blitz” to clear out hundreds of files from its HAMP backlog solely because the documents were more than 60 days old, even if all required documents were submitted. Bank of America said “blitzes” were used to find documentation for applications.

“This case demonstrates the vast frustration that many Americans have felt over the mismanagement of the HAMP modification process,” Zobel wrote. “Plaintiffs have plausibly alleged that Bank of America utterly failed to administer its HAMP modifications in a timely and efficient way; that in many cases it lost documents, or pretended it had not received them, or arbitrarily denied permanent modifications.”

Bank of America spokesman Rick Simon said: “We respect the court’s decision. We have successfully completed more HAMP modifications than any other servicer and will continue to improve delivery of this and other programs to support our customers in need of assistance.”

 

(Reporting by Jonathan Stempel in New York; Additional reporting by Dena Aubin and Peter Rudegeair; editing by Gerald E. McCormick and Matthew Lewis)

 

John Marcotte

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