Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!americast.com!usa-post Newsgroups: usa-today.real From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: real Wed, Jul 1 1992 Date: Wed, 1 Jul 92 05:20:57 EDT Message-ID: 07-01 0000 DECISIONLINE: Real Estate USA TODAY Update July 1, 1992 Source: USA TODAY:Gannett National Information Network FED MEETS TO DISCUSS RATE CUT: The Federal Reserve's Open Market Committee met Tuesday to consider another cut in short-term interest rates to jumpstart the economy. But some worry that a strong recovery would spark inflation, pushing up long-term interest rates and hurting the struggling housing market. "It's a real good worrying time," says Peter Hegel, of Van Kampen Merritt. GROUPS DON'T RELY ONLY ON PACS: Insurance and real estate interests often contribute more money to politicians through individual contributions than through political action committees, a new study says. The study cites Sen. David Boren, D-Okla., who received more than $200,000 for his 1990 campaign from financial, insurance and real estate interests. The study was conducted by the Center for Responsive Politics. GRAZING FEE INCREASE APPROVED: The House Appropriations Committee Monday approved a 33% hike in grazing fees for ranchers using federal lands. A full House vote is expected as early as Wednesday. A General Accounting Office study shows that more than 76 million acres of public lands leased for grazing are controlled by just 500 corporations and individuals, many of them among the richest in the country. S.C. TO DEFEND PROPERTY ACT: South Carolina will attempt to prove that a building too close to the shore is a public nuisance, a lawyer for the state's Coastal Council said Tuesday. The U.S. Supreme Court ruled Monday that the state must compensate David Lucas, who was barred from building on his property under the Beachfront Management Act. ILL. AIRPORT PLAN STALLS: The Illinois Senate voted Monday not to consider a proposal for a third Chicago airport. The plan for the $11 billion, Lake Calumet Airport in southeast Chicago passed the House Friday. Democratic leaders will likely bring up the proposal, supported by Gov. Jim Edgar, in the next legislative session. TAX BILL ADDRESSES LOW VALUES: The House Ways and Means Committee recently adopted a tax bill with provisions to restore values to a depressed real estate market. The bill would allow real estate professionals to offset their losses against income derived from other sources, making real estate investment more attractive an restoring depressed values. HOME WARRANTIES RECOMMENDED: In the first year of ownership, buyers of resale homes are more likely to have problems with their home's plumbing and heating than any other system or appliance, according to Buyers Home Warranty Co. A good deal of service calls happen in the first 90 days after the close of escrow, says Ray Adams, president of Buyers Home Warranty. He urges buyers to consider a home warranty plan. L.A. HOUSING STUDY EXPECTED: The Los Angeles Community Redevelopment Agency is expected to commission a study next month on lowering the costs of constructing affordable housing. The study, to be completed by the year's end, will be done in conjunction with a statewide study of public housing costs by Local Initiatives Support Corp., a national organization that assists non-profit developers. INSURER SELLS N.C. APARTMENTS: United Dominion Realty Trust Inc., has purchased two Wilmington, N.C., apartment complexes from Connecticut Mutual Life Insurance Company, the firm announced Tuesday. United Dominion bought the 287-unit Forest Hills Apartments and The Creek Apartments, 198 units, for $9.3 million including $4.65 million of mortgage financing. FIXED-RATE MORTGAGES FALL: The rates for 30-year fixed-rate mortgages from the Federal Home Loan Mortgage Corp. were listed at 8.43% Tuesday, down from 8.48% Monday and down from 8.48% the week before. They were at 9.67% a year ago. For 30-year adjustable-rate mortgages, the rates were 5.78%, down from 5.84% Monday and down from 5.84% the week before. A year ago they were at 7.25%. ARM INDEXES STABLE: The one-year Treasury ARM index rates were listed at 4.14% Tuesday, unchanged from Monday but up from 4.12% the week before. A year ago they were at 6.36%. For the 11th District ARM index, rates were at 5.290%, down from 5.427% Monday and down from 5.427% the week before. A year ago they were at 7.329%. T-BONDS INCREASE: Treasury security rates for the 30-year bonds showed an increase Tuesday, listing at 7.78%. That's up 0.01 from rates of 7.77% Monday but down 0.06 from rates of 7.84% a week before. A year ago T-bonds were at 8.41%. Real Estate Editor: Christopher Goldthwaite. (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