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The Federal Reserve’s Board of Governors said it believes the banking sector remains sound overall but noted concern about commercial real estate loans in its newest Supervision and Regulation Report, GlobeSt.com reported Nov. 13. The delinquency rates for CRE loans continue to grow, with the largest increase in the office property sector.

The 2024 multifamily loan purchase caps for Fannie Mae and Freddie Mac will be $70 billion each, with a combined total of $140 billion, the Federal Housing Finance Agency announced Nov. 14. The combined total cap is down from the $150 billion allocated this year and the $156 billion in 2022. However, the amount is much higher than pre-pandemic caps of $70 billion in 2018 and 2019.

The Appraisal Subcommittee on Nov. 1 hosted its third public hearing on appraisal bias, focusing on the residential valuation process (how appraisals are developed and reviewed), the procedures for reconsiderations of value and the process for completing rural appraisals. The ASC’s intention with these hearings is to gather information and establish context to help its efforts to ensure fair appraisals for everyone.

U.S. banks are utilizing so-called synthetic risk transfers to unload risk as they face tighter regulations and rising interest rates, according to a Wall Street Journal investigation, Mint reported Nov. 7. JPMorgan Chase and Morgan Stanley are among the banks utilizing the transfers, which see investors paying cash for bank-issued credit-linked notes or credit derivatives and collecting interest in exchange for shouldering losses if borrowers default.

On average, recent homebuyers can expect to wait 13.5 years before they can sell their home for a profit due to near-record home prices and high mortgage rates, Zillow reported Oct. 30. In pricier markets like San Francisco and San Jose, California, the profit timeline is approximately seven years. In more affordable markets, such as Cleveland and Indianapolis, owners may have to wait 20 years to break even.

Atherton, California, is the nation’s most expensive ZIP code, with a median home sale price of $8.3 million, Property Shark reported Nov. 2. The Bay Area alone claims 37 of nation’s 100 most expensive communities. Other top ZIP codes around the country include Sagaponack, New York, (median sale price of $8.075 million) and Miami Beach (median sale price of $5.5 million).

The Biden-Harris Administration on Oct. 27 announced new actions to support the conversion of high-vacancy commercial buildings to residential use. The actions include new financing, technical assistance and the sale of federal properties, all of which are intended to foster the development of energy-efficient affordable housing located near public transit and jobs.

As a practitioner, I’ve always known the Appraisal Institute to be a welcoming and inclusive organization. I owe much of my success in this profession to the AI’s training, body of knowledge, and ability to attract as members the highest quality and most knowledgeable appraisers and associated real estate professionals.

The Appraisal Institute, the nation’s leading professional association of real estate appraisers, announced that the Appraiser Qualifications Board (AQB) has approved the certified residential real property credential (CR) path for the Appraisal Institute Practical Applications of Real Estate Appraisal (AI PAREA) program.