Citi's Foreclosure Alternatives

Citi's Foreclosure Alternatives The number of American applying for first time unemployment benefits fell last week to the lowest level in a month. Wall Street believes it’s a hopeful sign that job market may be improving. That report combined with a promise by European leaders to help out Greece out of its debt crisis helps stocks to rally. The Dow Industrials jumped a 105 points than NASDAQ Composites added 29. Some mixed news on the foreclosure front the number of households facing foreclosure in January dropped 10% from December according to the foreclosure monitoring firm track but that number is up 15% from last January. And Citi group plans to let home owners on the verge of foreclosures stay in their homes for 6 months if they turn over the deed to their property. This pilot program begins this week in Michigan, Texas, Florida, Illinois, New Jersey and Ohio. Citi may expand the program nationwide. Home sales jumped 14% from October to December as a tax credit for first time home buyers boost of demands for real estate. That credit has been extended trough the end of April, buyers also took advantage of lower prices. The Median Home price fell 4% from the year earlier dropping in about half of all US cities. And long term mortgage rates dipped below 5% this week. According to Freddie Mac the average rate on a 30-year fixed mortgage is 4.97% this time last year it was 5.16%. For more, just head to CBSMoneyWatch.Com. In New York, I’m Alexis Christoforous.