Mortgage Rates Sink to 2-Month Low

A weak jobs report for March sent long-term mortgage interest rates sliding down during the latest week, according to mortgage giant Freddie Mac, with the 30-year fixed-rate mortgage (FRM) hitting a two-month low. The average rate on a 30-year conventional FRM fell to 3.66 percent with an average point of 0.6, during the week ended April 9, 2015, down from 3.70 percent the week before. Compared with a year ago, the rate is also down from 4.34 percent. The current rate is the lowest it has been Read more [...]

Priciest Mortgages Have Highest Foreclosure Rate

Foreclosure numbers have been falling in the past few years, but one segment of mortgage-borrowers continues to have an unusually high percentage of defaults – jumbo loan customers. Jumbo loans are those made for mortgages more than $417,000 in most areas of the country. For the top layer of jumbo loan borrowers – those taking out loans of $750,000 or more – the foreclosure rate was 2.5 percent in December 2014, according to real estate analytics firm CoreLogic. By comparison, the national Read more [...]

Lenders Make Homeownership More Attainable

We are finally starting to see some of the first verifiable signs of looser lending standards in the mortgage market since the housing collapse. That’s good news for those who have been scrimping and saving to get into a home of their own. As mortgage lenders saw their refinance traffic slow dramatically after this summer’s spike in interest rates, many tried to drum up extra business on the purchase side, by lower credit score requirements and down payment thresholds. Mortgage data tracker Read more [...]

Principal Reductions May Not Save Enough Underwater Homeowners

Since the beginning of the mortgage meltdown millions of homeowners have defaulted on their loans and millions more remain underwater, owing more on their mortgages than their homes are worth. Government programs have encouraged lenders to modify home loans for struggling homeowners, yet only a small percentage have taken advantage of these programs. Many lawmakers have been clamoring for a new tactic to be used by government-controlled mortgage financiers Fannie Mae and Freddie Mac, which guarantee Read more [...]

Can the FHA Avoid a Government Bailout?

After revealing a $16.3 billion deficit in an audit released last month, the Federal Housing Administration is potentially facing a need for taxpayer aid in the coming months. Congress grilled U.S. Housing and Urban Development Secretary Shaun Donovan Thursday to find out what happened and how the FHA is going to fix its problems. "We will continue, as we have throughout this Administration, to be diligent in taking every action appropriate to protect taxpayers while continuing to ensure that FHA Read more [...]

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on December 7th 2012 in Mortgage News

FHA Delinquencies Continue to Rise

Home sales have been stabilizing, mortgage interest rates remain at rock bottom, and some regions of the country are even seeing home price growth. Yet there remains at least one disturbing sore spot in the housing market: the rising number of FHA-backed mortgage delinquencies. The Federal Housing Administration stepped in to make loans to many of the nation's lower-income and first-time home buyers during the past several years as private lender fled the scene. It seems, however, that there was Read more [...]

Mortgage Rates Remain at Record Lows, But Who Can Qualify?

The average rate on long-term U.S mortgages stayed at the all-time, rock-bottom record low this past week, yet how many borrowers are really able to qualify for a home loan with a rate below 4 percent? According to mortgage finance company Freddie Mac, the average rate on a 30-year fixed rate mortgage flat-lined during the week ended June 28 at 3.66 percent, excluding fees. That is the lowest rate on record in the 41-year history of the Freddie Mac survey. Last year at this time, the average Read more [...]

Mortgage Applications Jump to New Heights on Record Low Rates

In the wake of all-time record low mortgage interest rates, the number of mortgage applications rose to the highest level in over tthree years, according to data from the Mortgage Bankers Association. During the week ended June 8, the MBA's home loan application index, a measure of total application volume, jumped up 18 percent on a seasonally adjusted basis from the previous week. That's the highest point since May 2009. The Association's refinance index grew 19 percent to another high not Read more [...]

FHA Will Soon Tack on New Mortgage Fees

Federal Housing Administration mortgage loans are about to get a bit more expensive. In the coming months the FHA will be raising its fees for mortgage insurance and lowering the amount of closing costs the seller can pay for the buyer. These new changes could make things difficult for first-time buyers and others in many high-priced areas around the country. Currently the FHA is financing about 25 percent of all home loans, up from 3 percent during the housing boom. In some metropolitan areas Read more [...]

Bank of America to Slash Principal for Mortgage Borrowers

Bank of America, under the terms of the recent robo-signing settlement, will soon be reducing home loan balances for 200,000 of its underwater customers. The $26 billion settlement penalized the nation's five largest banks - Bank of American, JPMorgan Chase, Citigroup, Wells Fargo, and Ally Financial - for their role in the foreclosure processing scandal uncovered in the fall of 2010, where it was revealed that lenders were knowingly pushing through thousands of foreclosures without all the proper Read more [...]