December 30, 2008
- How the Fed Rate Affects Mortgage Rates
How the Fed Rate Affects Mortgage Rates
Fixed-rate mortgage rates, though not directly tied to the Fed Funds Rate, have been responding positively to market rate cuts over the past few months.
Just as an overview, the Fed Funds Rate has a strong (if not direct) affect on the following:credit card rates
adjustable-rate mortgages
interest on savings accounts
Prime Rate [...]
December 13, 2008
- Low Credit Score Home Loans
Low Credit Score Home Loans
For the most part, you can obtain a home loan with fair credit. In some cases, you may even be able to get a low rate. Unfortunately, if your credit score falls below 500, homeownership may be impossible. Even with a credit score below 600, your loan options are limited. It's [...]
December 2, 2008
- HUD Issues New Mortgage Rules
HUD Issues New Mortgage Rules
HUD will require, for the first time ever, that lenders and mortgage brokers provide consumers with a standard Good Faith Estimate (GFE) that clearly discloses key loan terms and closing costs. HUD estimates its new regulation will save consumers nearly $700 at the closing table.
Last March, HUD proposed reforms to the [...]
November 27, 2008
- Hope Now: What Is It?
Hope Now: What Is It?
HOPE NOW is a private sector alliance of mortgage servicers, non-profits, counselors, and investors that have assisted many homeowners avoid foreclosure. They have developed a new program in conjunction with the U.S. Treasury, the Federal Housing Finance Authority, Fannie Mae, Freddie Mac and other mortgage loan servicers for “at-risk” homeowners.
The plan, [...]
November 3, 2008
- Need a Mortgage? There's Still Hope
Need a Mortgage? There's Still Hope
Credit standards have been getting tighter all year, reducing the number of people who qualify for loans. It's hard to quantify how many people have been disqualified because of stricter lending standards, but mortgages are still available despite all the hoopla about the credit crunch.
Qualified borrowers can find conforming and [...]
October 24, 2008
- Lenders Don't Want Your House
Lenders Don't Want Your House
With the huge number of homeowners facing foreclosure, it is true that your lender does not want your home. In fact, mortgage lenders are also victims in this crisis (believe it or not) as well. Your problem has become their problem!
With 8 homes in every 1000 currently in foreclosure (and many, [...]
October 6, 2008
- Mortgage Costs to Watch Out For
Mortgage Costs to Watch Out For
Faced with plunging property values and rising defaults, lenders are charging borrowers higher mortgage rates and adding fees. Not all of these added costs are set in stone, however. If you're looking for a loan, vigilant shopping and a little haggling can go a long way toward landing a better [...]
September 13, 2008
- Mortgage Rates Dropping, But Can You Get One?
Mortgage Rates Dropping, But Can You Get One?
Mortgage rates have plummeted, but that hasn't made getting a home loan any easier for most borrowers.
As the housing market has imploded, lenders have battened down the hatches on mortgage underwriting, consistently raising the credit scores necessary to qualify for the most favorable terms, and adding to borrowing [...]
September 11, 2008
- How to Come Up With a Down Payment
How to Come Up With a Down Payment
Not long ago, no-down-payment loans were big for homebuyers. But now that lenders have tightened their standards, borrowers once again are expected to pony up some cash of their own for a down payment.
Many homebuyers have difficulty coming up with a down payment. Here are some ways to [...]
September 4, 2008
- 2 Million Borrowers Avoid Foreclosure
2 Million Borrowers Avoid Foreclosure
Hope Now has helped more than 2 million at-risk borrowers stay in their homes during the past 13 months. Despite this progress, foreclosures continue to climb; 91,752 families lost their homes in July. That represents an increase of 14% from June and more than double the number of July 2007, when [...]
August 30, 2008
- FHA Secure Helping More Homeowners
FHA Secure Helping More Homeowners
Last year, the FHA rolled out FHASecure, a loan program designed to help homeowners with adjusting ARMs (adjustable rate mortgages) get a fixed rate. Last month, FHA re-launched FHA Secure with some fresh new guidelines aimed at helping even more homeowners.
You can even qualify for FHA Secure if you missed up [...]
August 23, 2008
- Filing Bankruptcy to Stop Foreclosure?
Filing Bankruptcy to Stop Foreclosure?
Some homeowners facing foreclosure are considering filing bankruptcy. Even though this might be an option for some people, there are a lot of other things you should try before filing bankruptcy to stop foreclosure.
The first thing you need to do is contact your mortgage lender. The sooner you do this the [...]
July 31, 2008
- Mortgage Points: Why Pay For Them?
Mortgage Points: Why Pay For Them?
If you are in the market for a home or considering refinancing your current mortgage, you probably have heard your mortgage professional talking about points. They may advise you to buy points or they may advise you not to, depending on your situation. The question is, do you really understand [...]
July 14, 2008
- Tips for Homeowners Nearing Foreclosure
Tips for Homeowners Nearing Foreclosure
Some homeowners who are three months to a year behind on their mortgages have chosen to leave their homes altogether. Anyone can walk away from a house — even a retired baseball great, Jose Canseco, who abandoned his Encino (Calif.) property earlier this year.
But attractive as "just walking away" may seem [...]
July 10, 2008
- Mortgage Rates Lower on Jumbo Loans
Mortgage Rates Lower on Jumbo Loans
Congress has lifted the conforming loan limits in thousands of counties across the country. The government is allowing mortgage giants Fannie Mae and Freddie Mac to buy more — and larger – loans. And the FHA has rolled out its jumbo loan.
So what does it all mean for you? Well, [...]
July 2, 2008
- Reverse Mortgages: How Do They Work?
Reverse Mortgages: How Do They Work?
Reverse Mortgages are exploding in popularity and as more and more baby boomers reach age 62 and beyond they will become eligible to cash in on their home equity with a reverse mortgage.
A reverse mortgage is a home loan you don't have to pay back for as long as you [...]
June 28, 2008
- Mortgages: Pre-Qualified vs Pre-Approved
Mortgages: Pre-Qualified vs Pre-Approved
When you are pre-qualified for a mortgage of some amount, this is simply a quick measure of what you probably can borrow. It is based on a few answers you give to things like how much income you have and the amounts of any debts you have. It does not, however, mean [...]
June 24, 2008
- Jumbo Loans for Larger Home Loans
Jumbo Loans for Larger Home Loans
In some real estate markets, a house in the $400,000 range may be considered a starter home. So the million dollar question is, "Why is it that a home loan in the mid $400's is considered a Jumbo Mortgage Loan?"
While most of us see the term "jumbo" as relative, Fannie [...]
June 18, 2008
- Mortgage Prepay Programs: Don't Get Suckered In
Mortgage Prepay Programs: Don't Get Suckered In
The world is full of people trying to convince us to pay for things we shouldn't. For example, programs that promise to help you pay off your mortgage ahead of schedule. Worth the money? Not according to money reporter Stacy Johnson. In this short (1:33) video, Stacy examines "Matter [...]
June 13, 2008
- Mortgage Foreclosure Looming?
Mortgage Foreclosure Looming?
One thing that seems pretty consistent throughout the mortgage industry is, people facing the possibility of losing their home often do little or nothing to prevent it from happening. Many homeowner's don't even seem to be aware that they have options, while other are so distraught by their hardship, it's difficult for them [...]
