Mortgage Holders Aggressively Pursue “Deficiency Judgments.”

Mortgage Holders Aggressively Pursue “Deficiency Judgments.” In 41 States creditors are allowed to sue for the difference between what they receive at foreclosures and the amount actually owed on the mortgage. There are several reasons why you don’t hear about this happening more often. Historically Banks seldom bothered to follow through on this procedure because

Interest Rate Claims Misleading

Interest Rate Claims Misleading Reporting of interest rates in established financial publications consistently misleads its readers about a critical point.  Even the most respected publications make interest rate claims misleading.  Once one lender does it they all feel like they have to follow that lead.  Interest rates are nice and low.  That’s no reason to

Rethinking ARMs (Adjustable Rate Mortgages)

Rethinking ARMs (Adjustable Rate Mortgages) I have always been of the opinion that if you don’t know what an ARM is you have no business messing with it.  I am mellowing a little bit on this point, so here goes: Some ARM Features: An ARM is a mortgage that starts out at a certain low

Low Mortgage Rates Confront High Anxiety, Low Appreciation Expectations

Low Mortgage Rates Hold for Now Low Mortgage Rates hold for now.  It’s been a long time since buyers of homes were comforted by the near certainty that rapid appreciation of their home would protect them from any errors in judgment.  With more people getting serious about buying homes as low mortgage rates hold for

FHA Raising limits: A Primer

FHA Raising Limits FHA raising limits. Loan limits will now be raised up to $729, 750.  With the FHA insuring more than 40% of home mortgages last year it is worth taking a moment to consider why: With FHA Raising Limits, Remember The FHA loan usually features attractive interest rates. Down payments can be as

Short Sales: Are They Worth it?

Short Sales: Are They Worth It? A short sale is a sale where an underwater seller agrees with the bank to sell the house for whatever they can get with the bank eating the loss. A Qualified Yes to Short Sales: Are they Worth It? These sales are better deals for the bank than the

Newsflash to home sellers: Buyers don’t care what you paid!

 Home Buyers Don’t Care What You Paid! Home Buyers don’t care what you paid.  Why should they?  Current sellers who bought their homes after 2007 are overpricing their properties by an average of 14%, those who bought their homes before 2002 overprice by 12% over market value, those who bought from 2002-2006 about 9% over. 

Those great mortgage rates require higher than ever credit scores

Great Mortgage Rates Require Than Ever Credit Scores Interest rates can hardly go any lower, but this year 75% of Fannie Mae mortgages go to those with sterling credit scores of 750-775, up from less than 5% before 2005. Great mortgage rates go to  FICO scores of 760.  For great mortgage rates 760 is the

Home sellers beware! Cash back deals are illegal

Home Sellers Beware: Cash back deals are Illegal We’ve all seen the ads saying in effect:  $10,000.00 cash back deal with full price.” or “Free car with full price.”  These cash back deals can have many negative effects, not the least of which is to drive up prices for comparable sales.  Studies have shown that

New aid: Some unemployed homeowners can miss a year’s payments

New Aid:  Some unemployed homeowners can miss a Year’s Payments Unemployed homeowners who are trying to find a job will be allowed to miss up to a year’s mortgage payments, triple the current 4 month limit, under a new administration program.  45% of the unemployed have been out of work for more than 6 months.

Fannie Mae to Banks: “Reach out to troubled borrowers.”

Fannie Mae to Banks: “Reach out to troubled borrowers” New rules from Fannie Mae require home loan servicers to communicate more directly with homeowners who are troubled borrowers to expedite arrangements to help them avoid foreclosure.  Jeff Hayward, senior vice president of Fannie Mae’s national servicing organization said: Troubled borrowers must know options “We want

Real-Estate Listings online sometimes wrong

Real Estate Listings online Sometimes Wrong With 9 out of 10 house hunters searching Real Estate listings online, according to the National Association of Realtors,  buyers are finding 21% of the data hasn’t been updated when changes are made to the price or when the property is sold.  These figures are courtesy of the leading

Agonizing over whether to rent or buy?

Agonizing over whether to rent or buy? It’s a big decision for sure.  Whether to rent or buy is probably the biggest financial decision most people will ever make.  For some owning a home is proof that they are a real grown up.  Beyond the emotional factors there are hard headed financial realities to consider.

Foreclosure hope for FHA loans

If you’re running late on your payments on an FHA loan you must first contact the lender to discuss the situation candidly. Bring whatever evidence you may have relative to the cause of your problems. The lender can consider restructuring or refinancing the loan to extend its life and lower your payments. If you have had

Loan originator’s compensation now limited

Loan Originator’s Compensation Loan originators are a hard working group of people who have always been paid very well for that hard work.  They must be very detail oriented.  They have inside knowledge of an area that can be very confusing to a first time buyer.  In short they have a big advantage over you

Prepping your home for a good appraisal and quick sale

Prepping Your Home Prepping your hme for a good appraisal and quick sale does not have to a dreadful duty to be put off until you have to do it all at once.  Getting started is usually the worst part of any ambitious project.  Breaking your goals down into smaller achievable goals does wonders for

How low can my credit score be for an FHA loan?

  FHA Mortgage Insurance Update The Federal Housing Authority (FHA) is the largest insurer of low down payment home mortgages.  Lenders require  private mortgage insurance for any loan with less than a 20 percent down payment. For a non FHA loan this extra expense born by the consumer is required by law to cancel when

Boosting Your Home Value

Boosting Your Home Value In today’s tricky real estate market some home fixes add value-and some don’t bring much return on your investment. Adding a wood deck to your home makes sense. You can expect to receive back an average of 80 percent of the cost. But think twice about adding a 2 story addition.

Why a 30 year mortgage for First Time Home Buyers?

    Why a 30 year mortgage for First Time Home Buyers? Is the popularity of 30 year mortgages justified by the facts? Consider the factors enumerated in this brief analysis and decide for yourself if it is right for you, the first time home buyers Look at a 30 Year Mortgage First First time

Home Equity Loans

Home Equity Loans Paying a lot of interest on credit cards and other forms of expensive credit doesn’t make a whole lot of sense for those fortunate enough to have substantial equity in their homes.  Many people have a need to feel that there home is not at some kind of risk.  That’s understandable….even commendable.