Ditech can't sell it until they foreclose and they can't accept a short sale without an agreement from owner, or in this case someone authorized by the estate.

Insurance is always an election unless it is required by a licensing authority.

See their AUTHORITY in the business.I just started a BP blog, with no sales pitches.

The oft-referenced official metrics that come to mind are Housing Starts (which you referenced as "New Builds") and breaking down the market into types of housing - apartments vs first-time buyer SFR vs trade-up SFR vs high-end.

I was obtaining a pre-qualification for a home loan, and was asked to sign the: Rate Lock Agreement,  Disclosure Notices, Servicing Disclosure Statement, Right to Receive Copy of Appraisal, Appraisal Delivery Timing Waiver, GFE Acknowledgment, Notice of Intent to Proceed, Flood Insurance Determination, Certification and Authorization, Transcript of Tax Return, Insurance Disclosure, Truth in Lending Disclosure, GFE, Housing Counseling Agencies Notice, Uniform Residential Loan Application.Should I sign these documents? 

I was in compliance and a code enforcement official launched an investigation into my house.  

What would happen if a neighbor became unhappy and snitched to the authorities?

These type of determinations often hang on the whims of neighbors and local elected officials, so knowing the landscape and having a consolidated strategy is paramount before you breath a word of your plans to anyone else. 

These are negotiable on election days only with your state and local government officials.1300's are other fees paid to other people like termite inspections, surveys, buyers premium fees paid to auction sites, etc.To Summarize....Negotiate the 700's with your sales agent before you even start shopping for a house. 

Make it official with an LLC or other attorney approved entity.