As expected, many subprime lenders have filed bankruptcy or closed operations during the first 45 days of 2007. Most of these lenders are having to buy back loans from the investors who purchased the loans. The main reason for the buybacks are first payment defaults. In my opinion, we will continue to see a shakeout…
DetailsIt’s amazing how fast interest rates are increasing. Less than two months ago, rates were one-quarter to one-half point (percentage point) lower than they are today. The yield on the ten year treasury note has increased from around 4.5% to 4.9%. I would guess the main reason for the increase is the uncertainty surrounding inflation.…
DetailsAs I ‘ve discussed in a recent posting, I believe this will be a great year for first time homebuyers. With so many houses on the market I think buyers can find great deals. Here are a couple of tips: 1) Talk with a loan officer from a local mortgage company or bank and get…
DetailsI read a statistic the other day that nearly 75% of consumers research products and services online before making a purchase. That started me thinking about researching mortgages online. It’s a great way to ‘shop smart’ but I recommend you keep a couple things in mind as you go cyber sleuthing for a loan. 1.…
DetailsOver the past two weeks mortgage rates have increased steadily. Is this a trend that will continue in 2007? It’s really anyone’s guess. Mortgage rates are tied closely to the 10-year treasury bond which changes daily based on market news. Many economists believe rates will increase throughout the year. I think most of the mortgage…
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