Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!usa-post Newsgroups: usa-today.real From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: real Wed, Mar 25 1992 Date: Wed, 25 Mar 92 05:43:34 EST Message-ID: 03-25 0000 DECISIONLINE: Real Estate USA TODAY Update March 25, 1992 Source: USA TODAY:Gannett National Information Network FUNDS CUT PLAN DRAWS CRITICISM: A Bush administration plan to slash public housing funds drew fire Tuesday from the bipartisan leadership of a House panel overseeing federal housing assistance. Rep. Henry Gonzalez, D-Texas, chairman of the House Banking and Urban Affairs Committee, criticized the proposal that would scale back money for construction or renovation of low-income housing. (For more, see special Funds package below.) DEVELOPER INDICTED IN HUD CASE: A federal grand jury investigating the continuing scandal at the Department of Housing and Urban Development Tuesday indicted real estate developer Victor Cruse on charges of perjury and obstruction of justice. Cruse - a business partner of top Republican political advisor Paul Manafort - is accused of lying about his role in HUD funding for a failing Savannah, Ga., apartment complex. A&P HEIR FILES CHAPTER 11: A&P supermarket heir Huntington Hartford filed for Chapter 11 bankruptcy late Monday to stop an auction Tuesday of the arts patron's four-story townhouse in Manhattan. Boston Safe Deposit & Trust says it's owed $595,341 in late mortgage payments and foreclosed on the townhouse in January. Hartford blames unfortunate investments and costly alimony; he's on his fourth marriage. BANK HAS SPECIAL LOAN RATE: Bank of America has announced a home loan with a 6% intial interest rate, fixed for three years, beginning Wednesday to borrowers purchasing a new home in California. Borrowers financing new single-unit primary homes are eligible. The interest rate and monthly payment can adjust every six months after the first three years. Down payments as low as 10% are permitted. HOUSING WAITING LISTS GREW: The National Association of Housing and Redevelopment Officials has estimated that waiting lists for public housing units increased nationwide between 1988 and 1991, according to the group's Monitor newsletter. The 1991 agency survey estimated that 1.1 million households were on waiting lists at the end of 1990. Section 8 waiting lists generally were larger than public housing lists. AUSTIN TOPS PERMIT INCREASE: In 1991, Austin, Texas, had the greatest gain in permits for single-family housing, according to U.S. Housing Markets, with 2,971 - up 56.4% from 1990. Other winners included Denver-Boulder, Colo., with 7,490, up 38.8%; Salt Lake City, with 4,515, up 27.4%; Phoenix, with 13,833, up 26.8%; and Tucson, with 2,649, up 20%; San Antonio, with 1,933, up 17.8%. FIXED-RATE MORTGAGES STABLE: The rates for 30-year fixed-rate mortgages from the Federal Home Loan Mortgage Corp. were listed at 9.03% Tuesday, unchanged from Monday but up from 8.88% the week before. They were at 9.51% a year ago. For 30-year adjustable-rate mortgages, the rates were 6.22%, unchanged from Monday but up from 6.04% the week before. A year ago they were at 7.25%. ARM INDEXES UNCHANGED: The one-year Treasury ARM index rates were listed at 4.73% Tuesday, unchanged from Monday but up from 4.64% the week before. A year ago they were at 6.41%. For the 11th District ARM index, rates were at 6.002%, unchanged from Monday and unchanged also from the week before. A year ago they were at 7.858%. T-BONDS DECLINE: Treasury security rates for the 30-year bonds showed a decline Tuesday, listing at 7.94%. That's down 0.09 from rates of 8.03% Monday and down 0.06 from 8.00% the week before. A year ago T-bonds were at 8.30%. SPECIAL PACKAGE ON FUNDS: FOCUS IS ON EXISTING HOMES: A plan to slash spending for public housing would cut money for construction of low-income housing but increase assistance to help poor people by or rent existing houses or apartments. "Funding for new construction or net additions to the existing supply of affordable housing is negligible," said Rep. Henry Gonzalez, D-Texas, chairman of the House Banking and Urban Affairs Committee. PLAN `OBLIVIOUS TO REAL NEEDS': Gonzalez said there are "growing waiting lists" for public housing and "severe shortages of affordable" housing. "This administration proposal is oblivious to real needs," he said. The banking committee's housing subcommittee, which he also chairs, is beginning a series of hearings on the reauthorization of housing and community development programs under the 1990 Housing Act. REPUBLICAN ATTACKS PROPOSAL: Rep. Marge Roukema of New Jersey, who is the subcommittee's ranking Republican, attacked the administration's proposal to cut in half money for grants going to states and local governments to build or renovate affordable housing. Bush wants $1 billion for HOPE - Homeownership and Opportunity for People Everywhere - which helps public housing tenants buy their homes. (End of package.) Real Estate Editor: Beth Mann. (1-919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution violates federal law. This article is copyright 1992 Gannett News Service. Redistribution to other sites is not permitted except by arrangement with American Cybercasting Corporation. For more information, send-email to usa@AmeriCast.COM