Freddie Mac is integrating the asset and income assessment solution delivered through Loan Product Advisor, its automated underwriting system which provides a fast, intuitive way for lenders to verify loan application data with LendingPad, a solution from Wei Technology.

"LendingPad's expertise, combined with Loan Product Advisor's, superior underwriting capability, will help lenders provide a better mortgage lending experience for homebuyers," said Rick Lang, vice president for loan advisor strategy integration at Freddie Mac. "This innovation provides our clients with a much-needed competitive advantage, The Freddie Edge – that reduces drag in today's fast-paced housing market."

LendingPad's capabilities are immediately accessible through asset and income modeler, Freddie Mac's automated asset and income assessment feature, which is available in Loan Product Advisor. Options include access to vendors such as The Work Number and FormFree.

"LendingPad's capabilities should excite mortgage lenders who are looking to improve their loan process," said Wes Yuan, Managing Director at WEI Technology. "LendingPad and Freddie Mac are collaborating to provide their mutual clients with greater efficiency to originate more loans, lower origination costs and reduce processing time."

Home-sale prices in the U.S. increased 3.3 percent year over year to a median of $298,800 in November, according to Redfin, a real estate brokerage. November marked the third-straight month of annual home price gains under 4 percent after a 77-month-long streak of annual home price gains exceeding 4 percent.

"The tide has turned," said Daryl Fairweather, chief economist at Redfin. "Sellers are now competing for buyers, but they haven't all realized it yet. Sellers who have adjusted their price expectations downward are still finding plenty of willing buyers. Sellers holding out for high prices are contributing to declining home sales and growing inventories. We see few signs that buyers are likely to reward their patience."

The number of completed home sales fell faster than it has in over two years, down 8.3 percent from November 2017. Home sales declined in 65 of the 74 largest metro areas that Redfin tracks.
The only metro areas that saw more than a 5 percent year-over-year increase in sales in November were New Orleans, 9.4%, Tampa, 7.2%, Long Island, 7.1%, and Orlando, 6.5%. Mortgage rates, which were a full point higher in November 2018, 4.9%, than the 2012-2017 average, 3.9%, may be putting a damper on sales.

As home sales continue to decline, the number of homes on the market is on the rise, shifting the balance of supply and demand back toward the buyers' favor. The number of homes for sale in November increased 4.9 percent from a year earlier. This was the highest level of inventory growth since June 2015, and the eighth straight month that the year-over-year figure increased.

However, the national figure masks a wide variation among individual metro areas, with inventory skyrocketing in places like San Jose, 123.2%, Seattle, 96.5%, and Oakland, 60.3%, but still falling fast in other areas such as Philadelphia, -24.0%, Camden, -19.8%, and New Orleans, -19.1%. The number of homes newly listed in November rose 0.3 percent year over year.

Across Redfin metros, the typical home that sold in November went under contract in a median of 44 days, two days faster than last year. Earlier this year the fastest markets saw homes go under contract in less than 10 days, but spring's fastest markets are slowing down the most this fall.

This November, 19 percent of homes sold above the list price, down from 22.2 percent last November. Meanwhile the share of homes with a price drop declined slightly from an all-time high of 31.2 percent in October to 24.6 percent in November. Nationwide the number of homes newly listed in November rose 0.3 percent year over year.

[caption id="attachment_8430" align="alignleft" width="250"] George: UpIt makes homes more affordable for consumers[/caption]

CMG Financial, a privately-held mortgage banking organization, has launched the UpIt feature for its digital-down-payment platform, HomeFundIt.

In addition to crowdfunding with HomeFundIt, home buyers can now grow their down payment when they, or a participant in their network, shops at participating UpIt retail partners. When shoppers make a purchase with an UpIt retail partner, a percentage will be pledged toward the associated campaign. HomeFundIt users have the option to crowdfund, shop with an UpIt partner, or do both to save for a down payment.

“HomeFundIt was founded on the principle that buying a home is a community event. UpIt brings that idea to the next level by creating another innovative pathway to homeownership. Shoppers can support the campaigns of friends and family or choose to support campaigns they find compelling,” said Christopher George, founder, president, and CEO of CMG Financial. “This addition is making homeownership more accessible in the markets we serve and that potential increases as we continue to add retailers to the platform.”

To launch UpIt, home buyers first sign up with HomeFundIt online and build a campaign page. Once the campaign is active, a network of shoppers can contribute to the campaign by selecting a retail partner from the UpIt store and making a purchase. To use the feature, prospective home buyers can get started immediately. In addition, the UpIt feature does not have a time limit within which the funds must be used.

It’s designed to function as a home saving account for an active home buyer, someone repairing their credit, or a college student looking to buy within a few years. If the home buyer intends to use UpIt in conjunction with crowdfunding, they need to get prequalified for mortgage financing before raising funds. Among the retail partners are Smart Home, Gabriel New York and Sonos.