As Housing Languishes, Mortgage Write-downs Gain Appeal for Banks

Eager to avoid writing down the loans on their books, banks have been extending many of them with the hope that the market will improve.

Even banks that foreclosed on properties have kept them on their books, reluctant to auction them in a market where investors offer as low as 10 cents on the dollar.

Now that appears to be changing, and it could have implications for property owners caught up in the sell-off.

10 Reasons to Buy a Home

Time magazine is being overly pessimistic in its recent cover piece that called into question the benefits of homeownership. In fact, now is a great time to buy. And, what’s more, tomorrow will be a great time to own, because the fundamental strength of homeownership hasn’t changed.

Improve Your Credit Score Before Searching for a Home

Many prospective homeowners find out the hard way the importance of a good credit score when they apply for a home mortgage, especially after the subprime loan crisis. If you are considering buying a home in the near future, it is a good idea to give your credit score a check-up and then take positive steps to improve your credit score if you find problems. Ideally, it is best to begin working on improving your credit score at least six months before you plan to start shopping for a home.

Do You Know the Red Flags of Mortgage Fraud?

Mortgage fraud is not going away any time soon. The FBI has been working with bureaus of investigation in states that recently passed residential mortgage fraud acts to stay abreast of the latest fraud tactics.
The FBI has found that fraudsters are evolving new ways to take advantage of others and hide their intent. For this reason, anyone involved in the mortgage industry needs to be educated on the red flags of possible mortgage fraud, such as those outlined below:

Rates on 30-year fixed mortgages fall to 4.69 pct., lowest level on records dating to 1971

Mortgage rates fell this week to the lowest level on records dating to 1971, giving consumers added incentive to lock in low payments for home purchases and refinanced loans. The average rate for 30-year fixed loans sank to 4.69 percent, from 4.75 percent last week, mortgage company Freddie Mac said Thursday. That’s the lowest point [...]

Refinancing Revitalized

A few years ago, the mortgage industry and housing market were on fire. Home values were on the rise and mortgage rates were dropping. Homeowners across the country took advantage of this by pulling out equity and/or consolidating debt, many of which taking out up to 80% of the appraised value (the Fannie Mae limit [...]