Wells Fargo settles mortgage-abuse case for $85M (AP)
AP - Wells Fargo & Co. has agreed to pay $85 million to settle civil charges that it falsified loan documents and pushed borrowers toward subprime mortgages with higher interest rates during the housing boom.

Political Economy: Recovery at Risk (CQPolitics.com)
CQPolitics.com - As if lawmakers needed another reason to avoid a default on the federal debt, there's evidence that the country's long real estate nightmare may be coming to a close. The housing market might not only be on the verge of bottoming out, it might soon start heading back up -- that is, unless interest rates get hammered by another financial crisis.

New-home sales fell 1 percent in June (AP)
AP - Fewer people bought new homes in June, evidence that the housing market remains weak.






Israeli housing protests evolve into major crisis (AP)
AP - Thousands of young protesters have set up sprawling tent camps in Israeli cities, forcing Prime Minister Benjamin Netanyahu on Tuesday to introduce economic reforms to address a swell of discontent over high housing costs and stave off the worst domestic crisis of his two years in power.

Fed hits Wells Fargo with $85 million mortgage penalty (Reuters)
Reuters - Wells Fargo & Co agreed to pay a $85 million civil penalty to the Federal Reserve Board for allegedly steering borrowers into costly subprime mortgages, the largest fine the Fed has ever imposed in a consumer-enforcement case.

Bipartisan tax plan trims mortgage deduction (AP)
AP - A new bipartisan plan to reduce government borrowing would target some of the most cherished tax breaks enjoyed by millions of families — those promoting health insurance, home ownership, charitable giving and retirement savings — in exchange for lowering overall tax rates for everyone.

Deal or no deal? US downgrade looking likely (AP)
AP - Could the U.S. lose its top credit rating even if a deal is reached to raise the debt limit? Market analysts and investors increasingly say yes. The outcome won't be quite as scary as a default, but financial markets would still take a blow. Mortgage rates could rise. States and cities, already strapped, could find it more difficult to borrow. Stocks could lose their gains for the year.



Regulators balk at demands for foreclosure reports (AP)
AP - Banking regulators refused to commit to releasing details of their investigations into illegal foreclosure practices by the nation's largest banks.

Mortgage rates for the past 52 weeks, at a glance (AP)
AP - Mortgage rates for the past 52 weeks, at a glance

Massachusetts to investigate mortgage registry (Reuters)
Reuters - Massachusetts Attorney General Martha Coakley will investigate Mortgage Electronic Registration Systems, a key player in the U.S. mortgage system, over its possible role in connection with illegal foreclosures.