A record $26 billion settlement was reached between state and federal officials and five of the largest banks over foreclosure abuses related to robo-signing. The settlement is expected to help over 1 million homeowners and involved 49 states. Mortgage rates have remained at record lows around 3.87% for 30-year fixed loans, providing incentive for home buying and refinancing. Local housing market activity in Houston increased from the same week last year with more new listings, pending sales, and closed sales as well as fewer active listings on the market.

1. National Foreclosure Deal Reached After more than a year of negotiations, state and federal government officials last week announced a record housing settlement of more than $26 billion with five of the country’s biggest banks over foreclosure abuses, a deal expected to help more than one million U.S. homeowners. State attorneys general and federal officials have been in discussions for more than a year with banks over the “robo-signing” crisis—the practice of assigning bank employees to rapidly approve numerous foreclosures with only cursory glances at the glut of paperwork to determine if all the documents are in order. In the end, 49 states participated in the settlement, including California and New York which had previously held out for a better deal. The settlement is with Bank of America Corp., J.P. Morgan Chase & Co., Citigroup Inc., Wells Fargo & Co. and Ally Financial Inc., the company formerly known as GMAC. To see a breakdown of the settlement, go to http://nyti.ms/wtY41q .

2. Mortgage Rates Cling to Record Lows The average rate on the 30-year fixed mortgage have remained at a record low, providing some added incentive for those looking to buy a home or refinance. Mortgage buyer Freddie Mac says the rate on the 30-year loan was unchanged at 3.87 percent. The average on the 15-year fixed mortgage rose to 3.16 percent, up from the previous week's record low of 3.14 percent. Rates have been below 5 percent for all but two weeks in the past year.

3. Weekly HAR Market Stat A positive jobs report gave way to bullish activity on Wall Street last week. Meanwhile, dozens of state attorneys general brokered a deal that will likely include principal write-downs. Locally, both buyers and sellers made more purchases and listed more properties than during the same week in 2011. Other indicators have shown improvement as well, most notably fewer active listings. Buyers in wait-and-see mode may find themselves with more competition for fewer properties come spring. In the Houston region, for the week ending February 5: • New Listings increased 0.6% to 2,150 • Pending Sales increased 50.6% to 1,511 • Closed Sales increased 36.1% to 981

4. Register Online at www.har.com/edu Questions? 713-629-1900 ext. 6 Promote Your Business Through Effective Marketing Marketing 101 Members will learn several techniques of lead generation. They will learn how to bring value to themselves as well as the real estate transaction. Students will engage in role-playing activities and learn how to facilitate buyer and listing consultations, utilizing the tools that are provided to them through HAR and NAR. The instructor will also give a brief overview of the contract-to-close process, technology and member benefits. Date: Thursday, February 23 Time: 8:30 a.m. – 12:30 p.m. Location: HAR Central Investment: $35