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» VISIT US ONLINE @ DSNEWS.COM 7 A look at facts you didn't know you couldn't live without. Compiled by the DS News Staff TAKE A LOOK INSIDE THE NUMBERS D ATA B I T S Approximately 37,000 foreclosures were completed during October 2015, which a 27 percent year-over-year decline but still close to double the pre-crisis monthly average of 21,000 from 2000 to 2006, according to CoreLogic. Five states accounted for 29.3 percent of the nation's negative equity in residential mortgages as of the end of Q3 2015— Arizona, Florida, Maryland, Nevada, and Rhode Island, according to CoreLogic. IT'S OFFICIAL: THE FED FINALLY RAISES RATES INSIDE THE JOURNAL // MOVERS & SHAKERS // ON THE WEB // THE APP SPECTRUM Source: Zillow (as of the end of Q3 2015) Source: Zillow (as of the end of Q3 2015) METROS WHERE BORROWERS SPEND THE LARGEST SHARE OF MONTHLY INCOME ON A MORTGAGE PAYMENT 1 San Jose, California 41.6% 2 San Francisco, California 40.6% 3 Los Angeles, California 39.9% 4 San Diego, California 32.3% 5 New York-Northern New Jersey 24.9% 6 Sacramento, California 24.8% 7 Riverside, California 23.7% 8 Boston, Massachusetts 22.2% 9 Seattle, Washington 22.2% 10 Portland, Oregon 22.0% Metro Percentage Ranking METROS WHERE RENTERS SPEND THE LARGEST SHARE OF MONTHLY INCOME ON RENT 1 Los Angeles, California 48.8% 2 San Francisco, California 47.0% 3 Miami-Fort Lauderdale, Florida 43.9% 4 New York-Northern New Jersey 42.0% 5 San Jose, California 41.4% 6 Sam Diego, California 41.2% 7 Riverside, California 36.4% 8 Boston, Massacusetts 35.1% 9 Denver, Colorado 34.2% 10 Tampa, Florida 32.9% Ranking Metro Percentage PAGE 36 Chief Economist, Redfin ASK THE ECONOMIST WITH Nela Richardson e Federal Reserve made the long- awaited, much-anticipated announcement in late December that federal funds target rate will increase by a quarter of a percentage point from its near-zero level where it has been since 2006. e announcement came as the Fed wrapped its eighth and final Federal Open Market Committee (FOMC) meeting of 2015. e Fed's decision to raise short-term interest rates took into account, "a wide range of information, including measures of labor market conditions, indicators of inflation pressures and inflation expectations, and readings on financial and international developments." In what many analysts and economists saw as the final piece of the puzzle, the November employment summary released by the Bureau of Labor Statistics in early December reported 211,000 jobs added in November, an unemployment rate of 5.0 percent, and an average monthly job gains of 218,000 for the three-month period from September to November. So how will this affect housing overall in the long-term? "I applaud the Federal Reserve for making the long overdue decision to raise the federal funds rate," said Ed Delgado, Five Star Institute President and CEO. "e housing market and the overall economy have continued to show signs of improvement throughout 2015. As the year comes to a close, this decision represents a strong statement of faith that the long-term fundamentals of the market point to a period of growth and sustainability. e cause of homeownership is well served by the Fed's move today." When questioned about how the rate hike will affect the housing market, Mike Hardwick, Founder and President of Churchill Mortgage said in an interview that this will motivate "on the fence" buyers to move forward with purchasing a home. "e Fed only raised rates a quarter of a percent," Hardwick said. "Moving the rates up too fast could really spook the markets and who knows what that would mean; it could really cause an overall economy stall, but I don't think they will do that." Steve Hovland, Director of Research at HomeUnion told DS News in an interview that homeownership will be a rare commodity next year as a result of the Fed's decision to raise rates. "Unlike previous meetings, the Fed strongly prepped the markets for this change in monetary policy, which pushed up average 30-year mortgage rates 20 basis points, and the 10-year Treasury 25 basis points over the past few weeks. We don't expect mortgage rates to move up in-step with the funds rate, though homeownership will be further out of reach for many renters. At 63.7 percent, the homeownership rate is near a 30-year low and will likely fall further in 2016."

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