Federal Reserve: South Carolina and Michigan have the best economic outlooks

According to a report by the Federal Reserve Bank of Philadelphia, South Carolina is one of two states that are expected to a growth rate of 4.5 percent or better in the Fed’s coincident index, or gross state product, in the first six months of 2012.

Both South Carolina and Michigan top the Fed’s list of prospects for rapid growth in the next few months.  Both state’s have experienced significant improvements in employment.

The Greenville News reported on this story over the weekend.  Read their report at greenvilleonline.com by clicking here.

Federal Reserve: Speculative Investors Played a Larger Role in Housing Bubble than Previously Thought

A new federal report shows that speculative real estate investors played a larger role than originally thought in driving the housing bubble that led to record foreclosures and sent economies plummeting in Nevada, California, Arizona, Florida and other states. Researchers with the Federal Reserve Bank of New York found that investors who used low-down-payment, subprime credit to purchase multiple residential properties helped inflate home prices and are largely to blame for the recession.

IBS: Special Session with Fed Chairman Ben Bernake Planned

Attendees of the 2012 International Builders Show (IBS) will have the exclusive opportunity to hear Federal Reserve Chairman Ben Bernanke deliver remarks during a special session at the National Association of Home Builders’ (NAHB) board of directors meeting on Friday, February 10 at 12:30 pm.

The event, held in the Valencia Ballroom of the Orange County Convention Center, will have limited general seating available on a first-come, first-served basis.

Friday, Feb. 10, 2012
2:30 p.m. ET

Orange County Convention Center
Valencia Ballroom
Orlando, Fla.

The special session with Chairman Bernanke is open to all registered attendees of the 2012 International Builders Show; however seating is limited and available on a first-come, first-served basis. To register for IBS, please visit www.BuildersShow.com/Register.

Proposed 20 Percent Minimum Down Rule Would Severely Disrupt the Housing Market

A plan unveiled by the Federal Deposit Insurance Corporation (FDIC) and the Federal Reserve on March 29 to require a minimum 20 percent down payment for “qualified residential mortgages” would disrupt the fragile housing market and jeopardize the struggling economic recovery, according to NAHB.

According to FDIC chairman Sheila Bair, the 20 percent down payment requirement applies only to “that segment that is exempt from risk retention.” In other words, mortgage loans for which lenders do not retain at least 5 percent of the loan will require a 20 percent down payment.

Click here to read the complete article in Nation’s Building News.

Click here to read the proposal by FDIC and the Federal Reserve.

That Washington Post wrote in support of the proposal on its Opinion Page on March 31.

Click here to read the Post’s editorial.

Let the eat cake: click here to read a rebuttal to the Post’s editorial.