I was recently asked by one of the readers of this blog whether it was safe to use an online lender. It’s a great question, but not a simple one to answer. Online lenders often offer some of the best interest rates and APRs in the market. But most of them are “out of state” lenders, and don’t have the local resources for face-to-face meetings if problems arise during the process of securing your new mortgage. Read more to understand the pros and cons of using online lenders, and how to mitigate risks.
At the beginning of the year I forecasted mortgage rates would increase throughout 2013. Well, rates have in fact increased, and even exceeded my forecast. Where are mortgage rates headed from here? What are the key drivers which will determine whether they’re going to continue to increase this year, remain where they are, or go back down? Read more to gain an understanding of the economic drivers at play, and what will determine how interest rates behave for the rest of the year.
The spring home buying season has been busy, with increased demand for housing thanks in part to record low mortgage rates. Supply of homes has declined significantly over the past year, and demand for homes is strong which has driven double digit increases in home prices in recent months. Read more to help determine whether now is the right time to purchase a new home, or refinance your existing mortgage.
We are in the heat of the spring home buying season and many people are taking out new mortgages to buy their dream home. One of the simplest, easiest ways to cut approximately four years off the life of a traditional 30 year fixed rate mortgage is usually overlooked by most homeowners. Read more to learn about this painless approach to paying your mortgage bill that can make a huge impact down the road. It might just pay for your kid’s college tuition bills.
Mortgage rates are still near record lows, but they have ticked up over the past few months. As the housing market continues to recover with prices increasing and inventories shrinking, many homebuyers entering into the spring home buying season are wondering where rates will be heading in 2013, and whether now is a good time to buy a new home. Read more to learn about the market forces at work, and where I speculate rates are going to be trending throughout 2013.
An FHA Streamline Refinance is one of the fastest and easiest ways to refinance your mortgage to take advantage of today’s record low mortgage rates. This program is from the Federal Housing Administration and available to all homeowners who currently have an FHA mortgage. The requirements to qualify for these streamline refinance loans are very light including no employment verification, no income verification and even no appraisal. But there is an added cost of a mortgage insurance premium (MIP) since these are riskier loans that the FHA insures for lenders. Read more to take advantage of this very popular refinance program…it will most likely not last forever.
US Mortgage Rates are at all time record lows, but not everyone can take advantage of them. The US has had a long running program within the Federal Housing Administration (FHA) to help US citizens buy a home that they might not otherwise be able to afford through traditional lending sources. The FHA has played a stepped up role since the subprime market fell apart over the past few years. Learn more about this government assistance program, how it has helped both homeowners and the housing market, and how it might be creating the next bubble in the US mortgage market.
US Mortgage rates have been on a downward trajectory over the past year. Rates recently ticked up a bit over the past couple of months, but have now bounced back down to 3.49%, the lowest level on record. For many homeowners, the toughest question is whether now is the right time to refinance, or whether one should hold on to see if rates will go lower. Read on to learn about how the mortgage market works, the global dynamics at play, and to get a perspective on whether now is the right time to lock in to a low rate.
Mortgage rates have ticked up slightly over the past week, but the big picture is that rates are still near the bottom at all time record lows. The average rate for a 30 year fixed rate mortgage for the past week was 3.59% with 0.6 points paid at closing, according to the Freddie Mac Primary Mortgage Market Survey. However, lenders and homeowners report problems in getting many refinancings approved through underwriting. One of the main culprits is the appraisal process, with home values falling short of today’s tighter underwriting standards. While you can’t completely eliminate all the issues with appraisals, there are several things you can do to help prevent problems. Read more to get in front of the appraisal process.
Libor has been in the news the last few weeks, with the latest scandal emerging from across the pond. Several of the top international banks are suspected to have manipulated the Libor rate during the financial crises. Could this have impacted you mortgage rate? Read more to understand the dynamics between Libor and mortgage rates, and how to protect yourself from variations and volatility in the market.