More Than 11 Percent of Mortgages Late or in Foreclosure
A whopping 7.88 percent of all residential mortgages were at least one month late by the end of the fourth quarter of 2008, according to the MBA’s latest National Delinquency Survey.
That’s up from 6.99 percent in the third quarter of 2008 and 5.82 percent in the fourth quarter of 2007, a new record high and quarter-to-quarter jump.
The delinquency rate doesn’t include loans already in foreclosure, Read more
FDIC May Get More Borrowing Power to Stay Afloat
No one saw this coming…Senate Banking Committee Chairman Christopher Dodd is reportedly working on a bill that would allow the FDIC to borrow up to $500 billion from the Treasury Department.
The FDIC, which has been hit hard as a result of the mortgage crisis, would be allowed to temporarily access the funds until the end of 2010 to rebuild its fund that insures consumer deposits while creating a buffer to protect Read more
Fixed Rate Mortgages Grow Even More Popular
As if they couldn’t get any more popular, fixed-rate mortgages grabbed even more market share during the fourth quarter, according to mortgage financier Freddie Mac’s quarterly refinance report.
An overwhelming 97 percent of prime borrowers who originally had conforming ARMs chose a fixed-rate mortgage when they refinanced, up from 85 percent a quarter earlier.
Additionally, 99.7 percent of borrowers Read more
Fitch: Loans Receiving Balance Reductions Re-Default More
Though principal balance reductions seem to be all the rage in the loan modification world, they may not be as effective as simple principal and interest payment reductions, according to a report from Fitch Ratings.
The company said initial, but limited data for modifications with large balance reductions (20% or more) exhibited higher 60 day+ re-default rates than loans with decreased monthly mortgage payments of Read more
Low Mortgage Indexes Making ARMs More Affordable
Now I’m not sure how many borrowers actually held onto their adjustable-rate mortgages (by choice or necessity), but if they had, they’d probably be enjoying an unexpected surprise.
Many of the popular mortgage indexes are at multi-year lows, spelling serious discounts for those with associated ARMs.
The MTA for example, popular on the now infamous option arm, fell for the 21st consecutive month to Read more
Updating Your Home with American-Made Products: Home Decor, Appliances and more made in the USA
In the dead of winter when going outside is… er… undesirable, there's nothing quite so rewarding as really focusing on the inside of your home. Whether you've just moved into a new home, or you're cozying up in your current one, making small changes can make a big impact. Changing sofa slipcovers, accent pillows, or even bringing in a real bamboo plant to the guest bathroom.
But in today's economy, we certainly Read more
Foreclosures Account for More than Half of Bay Area Resales
Foreclosed properties accounted for more than half of all Bay Area resales during December, a first, according to real estate information provider DataQuick.
That’s up from 46.8 percent in November and 14 percent a year ago. As a result, home sales increased 19.7 percent from November and 36 percent from December 2007.
A total of 6,889 new and resale homes and condos sold in nine counties last month, Read more
Mortgage Applications Slow as More Borrowers Wait?
Mortgage application volume slipped 8.2 percent on a seasonally adjusted basis for the week ending January 2, the MBA said today.
On an unadjusted basis, the home loan application index fell 8.9 percent compared to the previous week, but was still up 28.3 percent compared to the same period a year earlier.
The refinance index decreased 12.3 percent, indicating that borrowers may be holding out for even Read more
Existing Home Sales Decline Despite Homes Becoming More Affordable
The National Association of Realtors announced today that existing home sales in October were down 3.1 percent as compared to September 2008. However, while home sales were down, the inventory of unsold homes slipped 0.9 percent to 4.23 million units, representing a 10.2 month supply.
Quicken Loans Chief Economist Bob Walters says he’s not surprised by the findings as consumers are still facing tough credit guidelines and uncertainty Read more
FHA Loan Production More Than Doubles in Fiscal Year 2008
FHA lending is popular.
During fiscal year 2008, the FHA endorsed over 1.2 million single-family mortgages, up from 532,000 a year earlier, HUD said in its annual report.
That figure includes 111,661 Home Equity Conversion Mortgages (reverse mortgages), with the grand total representing $177 billion in new mortgage endorsements, up from $60 billion in 2007.
HUD credited the recent rise in FHA Read more