WASHINGTON, May 29 (Reuters) – The Federal Housing Administration will allow the new $8,000 first-time homebuyer tax credit to be applied directly toward home purchase costs when using an FHA-insured mortgage, the Department of Housing and Urban Development said on Friday.

via UPDATE 1-US FHA to apply $8,000 credit to home buying costs | Markets | Bonds News | Reuters .

13 charged with mortgage fraud run out of Islip, NY Broker Bridgewater Funding,LLC

via Mortgage and Real Estate Fraud – Mortgage Fraud News .

MIAMI (Reuters) – A pickup in U.S. home sales has kindled hopes for a housing recovery, but plunging prices, rising unemployment and a new wave of foreclosures are clouding prospects for a quick end to the American real estate debacle.

via Job losses muddy outlook for U.S. housing comeback | Special Coverage | Reuters .