March 29, 2011
- Home Sellers Getting Creative with Financing
Some home sellers these days are finding ways to get more creative with financing…
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March 25, 2011
- Mortgages Could Be Getting More Expensive
Remember the days when buyers could qualify for a mortgage loan by putting down 3 percent? How about the days when mortgage lenders passed out no-downpayment loans? Mortgage loan financing has changed dramatically since then.
Today, the majority of traditional mortgage lenders are requiring that future homeowners come up with a down payment of 20 percent [...]
March 22, 2011
- Household Worth Up: A Positive for the Mortgage Market
Americans are beginning to gain ground against the worst recession in recent history as more and more economic indicators point to recovery. A new study from the Federal Reserve says household net worth in the U.S. soared $2.1 trillion during the last three months of 2010.
Gregory Daco, U.S. senior economist for the research firm IHS [...]
March 9, 2011
- Locking In Interest Rates
Consider the following four things when deciding whether or not to lock in your mortgage interest rate:
Lock in your rate as soon as you know you have a good deal in front of you, and you know roughly when you can close (30 to 60 days should be the longest lock period). .
Lock it [...]
February 19, 2011
- Are 30% Down Mortgages In Our Future?
The top mortgage lender in the country, Wells Fargo, has called for borrowers to come up with 30% down if they want to avoid higher mortgage rates and more restrictive lending tied to the “risk retention” requirements related to the Dodd‐Frank Wall Street Reform and Consumer Protection Act of 2010.
Essentially, the government wants to ensure [...]
February 14, 2011
- Have Interest Rates on Mortgages Hit Rock Bottom?
The interest rates on mortgage loans have been moving in a downward direction for the past few years. Recently, the rates even fell below the five percent mark, coming in at about 4.92 percent on average for a 30-year fixed rate loan. This leaves many financial experts and consumers alike wondering if the interest rates [...]
February 3, 2011
- Mortgage Refinances May Drop 77% by 2012
Residential mortgage refinances are expected to deteriorate over the next two years due to factors not limited to rising interest rates. Some are predicting that mortgage refinancings, in fact, will fall by 77% by 2012 and drag down the overall market for originations.
Total refinances hit about $1 trillion in 2010 and accounted for 69% of [...]
January 22, 2011
- How to Get a Mortgage Now
What do mortgage lenders look for when they scrutinize your finances? It all boils down to financial stability and making sure you’re a good credit risk.
On your application, you’ll be asked to disclose personal finance information that will help the lender decide whether your finances are stable or precarious at that moment in time.
Salary/Annual Income: [...]
January 14, 2011
- A Little-Known Strategy for Cutting Mortgage Payments
Homeowners looking to lower their monthly mortgage payments and also save some on interest may be able to do so without all the hefty fees and daunting credit requirements of refinancing.
A little-known strategy, called “recasting,” or “re-amortization,” is available through some mortgage lenders and servicers.
It involves paying off a lump sum of the principal amount [...]
January 2, 2011
- Strategic Defaulters Opt to Continue Paying on 2nd Liens
Borrowers who strategically default on their first mortgage often continue to pay on home equity lines of credit, according to a new white paper from two authors with the Philadelphia Federal Reserve. Data for the study came from a large random sample of individual credit records drawn at the end of each quarter from Equifax, [...]
December 22, 2010
- A Good Credit Score Can Get You an Affordable Home
You probably already know how important it is to have a good credit score. A high score can help you qualify for loans with the lowest interest rates, auto insurance at the lowest premiums, and even beat out your competitors for that dream job.
However, having a good credit score is even more important today. That’s [...]
December 18, 2010
- Your Mortgage and the Down Payment You Need
There are a lot of steps in buying a home. Among the things you need to prepare for is the amount needed to make the down payment required by the lender.
This is a form of financial protection for the lenders, and since they require this, borrowers have no choice but to comply. In [...]
December 8, 2010
- Buying a Home: Comparing Home Loan Types
If you are buying a home, it’s a good idea to make sure you firmly understand the options you have with regard to the types of home loans. Between the various home loan types, there are important differences. By making sure you choose the right type of home loan to fit your situation, the more [...]
November 22, 2010
- Refinancing a Home with Bad Credit
When it comes to refinancing a home with bad credit, there are certain things you need to know if you are going to be able to make sure you get the best refinancing deal possible:
1. KNOW YOUR MORTGAGE (AND ITS ALTERNATIVES): Before you even consider refinancing, make sure you fully understand your [...]
November 11, 2010
- Fed’s Cash Injection Likely to Keep Mortgage Rates Favorable
Along with the election results, the big news recently was the Federal Reserve's announcement that it will attempt to jumpstart the economy by purchasing another $600 billion in long-term Treasury bonds through mid-2011.
While this announcement was not unexpected, it has been widely debated whether the plan will actually bandage the economy and raise employment through [...]
November 6, 2010
- Home Mortgage Loans: Getting One Continues to Be a Challenge
Bankrate.com has pooled the opinion of several mortgage industry professionals with regards to the future of the home mortgage loan market. According to most of them, mortgage loan rates will maintain their low levels, but acquiring a home loan will be difficult for most consumers. They also predicted that homeowners seeking refinancing will be lured [...]
October 19, 2010
- Good Reasons for Not Refinancing
The decision to refinance may seem like a simple one; a lower interest rate is, after all, a lower interest rate; however, there are several good reasons not to refinance. In fact, in some cases, refinancing can actually cost you more in the long run:
1. HOW LONG HAVE YOU HAD YOUR LOAN? First, consider how [...]
October 17, 2010
- 9 Million Homes Could Be Affected by the Foreclosure Mess
According to a recent Bloomberg article, the ongoing mortgage fiasco, dubbed foreclosuregate by some, could possibly entangle 9 million foreclosed properties with questions about the legitimacy of their title, the legitimacy of their foreclosure, or both.
In response to this debacle, JP Morgan Chase and GMAC/Ally have suspended foreclosures in 23 judicial foreclosure states. Bank of [...]
October 8, 2010
- Refinancing: 5 Things You Need to Know First
If you're thinking about refinancing an existing mortgage, here are 5 things you need to consider first:
A fixed mortgage rate guarantees your monthly payments will not change even if the housing market does. If the interest rate goes up at any given time, you'll know you've been wise since your rate remains the same. You [...]
September 26, 2010
- Mortgages: How Are Rates Determined?
Mortgage rates are determined by a number of factors, including market conditions, your personal credit history and the size of your downpayment.
One of the biggest factors in the mortgage rate you get as a homebuyer is the Federal Funds Rate, an interest rate determined by the Federal Reserve that affects inter-bank loans and transactions. The [...]
