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Hotel development activity continues to accelerate but average daily room rates are stagnating, which revealed a disconnect between high occupancy levels and an inability of hoteliers to increase room rates, according to CBRE Hotels, which downgraded its forecast for the year, MBA NewsLink reported Sept. 8.
CMBS issuance is expected to increase the rest of the year, according to analysts from research firm Trepp, who noted disappointing issuance rates during the first half of 2016, National Real Estate Investor reported Sept. 7. Analysts indicated that 2016 CMBS issuance will be down nearly 50 percent from last year.
Increased demand for data drove up investments in data centers the first half of the year by $140 million compared to the first half of 2015, according to real estate services firm CBRE, National Real Estate Investor reported Sept. 6. The data center sector makes up 5 percent of all REITs.
The Independent Community Bankers of America reported Sept. 7 that it filed a lawsuit against the National Credit Union Administration over its commercial lending rule. The ICBA alleged that the rule would enable tax-exempt credit unions to exceed congressionally-mandated limits on commercial lending and reduce regulatory oversight.
There are nearly 200,000 open construction jobs across the country, an 81 percent jump from two years ago, and the labor shortage is dampening the housing recovery because developers can’t build enough homes to meet demand, MSN Money reported Sept. 6.
The Fannie Mae Home Purchase Sentiment Index fell in August, but is still higher than at the same point last year, which indicates that overall consumer housing sentiment remains positive and bodes well for continued housing sector growth, Fannie Mae reported Sept. 7.
Average fixed mortgage rates for the past week moved slightly lower, spurring refinancing as consumers take advantage of historically low rates, Freddie Mac reported Sept. 8 in its Primary Mortgage Market Survey.
Mortgage industry originations for the year are expected to reach $1.9 trillion, according to analysts at investment bank FBR & Company, HousingWire reported Sept. 7. The analysts based their outlook on a strong purchase market and healthy refinance activity due to low interest rates.
Borrowers who took out mortgages in the past five years rarely defaulted on their loans — and that near-zero-default rate indicates that it’s time to ease credit restrictions to allow more borrowers to qualify and enter the housing market, the Urban Institute reported Aug. 31.
Residential real estate activity in August expanded in most Fed districts while construction was mostly moderate, the Federal Reserve reported Sept. 7 in its newest Beige Book. Commercial construction and sales grew slightly, and most districts reported expanded activity.
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