Chase: Two-Thirds of WaMu Mortgages Impaired
More interesting tidbits from Chase’s investor day.
Chase said two-thirds of the $173.5 billion in mortgages picked up via its acquisition of Washington Mutual assets were deemed “impaired,” per the Seattle Times.
That’s $116.7 billion in bad loans, though Chase said it has already written down their value to $88.8 billion.
A hefty 82 percent of the pay option arms are considered impaired, Read more
How the 2009 Stimulus Package May Affect Interest Rates
As a presidential candidate in 2008, Barack Obama announced an immense stimulus package proposal of $175 billion. After taking office, President Obama is now considering a much larger proposal package that could exceed $500 billion. There are a few stipulations in this proposal that President Obama has considered in past proposals that could directly affect whether or not you receive a stimulus check. Some of the proposals Read more
Today’s Mortgage Interest Rates – February 23, 2009
Mortgage rates are still very low and offer lots of opportunity for home buyers and anyone interested in refinancing! Many specific factors are taken into account to determine which mortgage rate you’ll qualify for, but here are some general rates for Monday, February 23, 2009 (as of 1 pm). Find our rates below – each with their respective loan programs. Don't forget to check out the assumptions we make for these rates. The assumptions Read more
Chase Banking Chief Says Loan Mod Re-Default Rate Not So Bad
JP Morgan Chase’s retail banking chief Charles Scharf told shareholders the delinquency rate on modified mortgages isn’t as bad as what’s been tossed around lately.
During the company’s investor day in New York, he said loan modifications can be successful “if done properly,” meaning if important things like income are actually verified the second time around.
He noted that a loan modification Read more
Today’s Mortgage Interest Rates – February 24, 2009
Mortgage rates are still very low and offer lots of opportunity for home buyers and anyone interested in refinancing! Many specific factors are taken into account to determine which mortgage rate you’ll qualify for, but here are some general rates for Tuesday, February 24, 2009 (as of 6 pm EST). Find our rates below – each with their respective loan programs. Don't forget to check out the assumptions we make for these rates. The assumptions Read more
The New and Approved $8000 Tax Credit
The Federal Government had its citizens captivated with the anticipation of the Senate’s $15000 tax credit that
was quickly rejected in committee. This credit generously provided homebuyers – not just first-time homebuyers – with a tax credit of up to $15000. Instead, negotiations on the bill increased last year’s $7500 housing credit by $500 resulting in the approved $8000 tax credit, or 10% of the purchase price– Read more
7500 Tax Credit For First Time Home Buyers
Congress created the $7500 tax credit incentive to help first time home buyers get into a home and stimulate the housing market and economy. Their rationale is that it will help stabilize home prices and increase home sales. First time home buyers purchasing a home between April 9, 2008 and before July 1, 2009 are eligible for the 7500 tax credit. The home must be used as a principal residence and be occupied within Read more
New Home Sales Fall Due to Low Mortgage Interest Rates and Low Prices of Existing Homes
The U.S. Census Bureau and the Department of Housing and Urban Development today announced that sales of new, single-family homes fell in the month of January, decreasing 10.2 percent from December’s numbers.
“Today’s new home sales report is reflective of what we saw yesterday on the existing home sales front. The silver lining is that homes are priced at affordable levels and long-term interest rates remain attractive,” Read more
Stimulus Bill to Push Refinance Volume 55 Percent Higher
The $800 billion stimulus bill signed into law last week will have a massive impact on refinance volume, but not so much on purchases, according to market research firm iEmergent.
The company, which provides mortgage volume forecasts, updated its 2009 forecast as a result of the bill, noting that purchase activity would increase slightly and refinance volume would jump 55 percent.
For 2009, iEmergent expects Read more
Uncle Sam Bails Out Freddie & Fannie
Fannie Mae and Freddie Mac sound like an aging aunt and uncle, but these are both “government-sponsored enterprises”. This means that they are privately owned, but receive support from the Federal Governement, and assume some public responsibilities. The recent mortgage crisis and fallout from sub-prime lending has gotten both Freddie & Fannie in dangerous waters and verging on bankrupcy called for the assistance or bail-out to speak Read more