Mortgages and Interest Rates 
There are currently 10 blog entries related to this category.
Orange County Real Estate Update: The Fed and Home Affordability
Friday, October 16th, 2009 at 5:27pm. 64 Views, 0 Comments.
Orange County real estate is on the move, and it is important to know there are several factors that are included when mortgage companies set their rates. Most recently, mortgage rates are higher after the Federal Reserve released the internal notes of its September 22-23, 2009 meeting.
Known as the "Fed Minutes", the report details the conversation and cross-currents that led to the Federal Reserve's decision to vote "unchanged" on the Fed Funds Rate after its last meeting.
The Fed Minutes are the lengthy companion to the more famous, succinct post-meeting press release.
As a comparison:
- Press Release: 383 words
- Minutes: 6934 words
The extra level of details is a big deal because Wall Street is perpetually in search of clues about what…
Attention Orange County Homeowners: FHA Is Changing Its Streamline Refinance Guidelines November 2009
Wednesday, October 7th, 2009 at 6:33pm. 110 Views, 0 Comments.
Here is some important information I came across that concerns both home buyers and homeowners:
Beginning November 17, 2009, the FHA will make it harder to qualify for its popular Streamline Refinance program.
Available exclusively to homeowners with existing FHA home loans, the streamline program is meant to help homeowners reduce mortgage payments as simply as possible.
As such, the program carries minimum eligibility requirements.
In fact, the FHA Streamline Refinance is more notable for what it doesn't require from applicants.
- There's no income verification
- There's no asset verification
- There's no employment verification
- There's no appraisal required
The two biggest qualifiers, really, are that the homeowner meets a minimum credit…
Fannie Mae Passes New, Tougher Mortgage Guidelines
Tuesday, September 29th, 2009 at 12:05pm. 82 Views, 0 Comments.
Unfortunately for many homebuyers getting approved for a mortgage is about to get harder, because for the second time in less than 3 months, Fannie Mae announced changes to its mortgage guidelines.
In its official announcement, Fannie Mae details the updates, meant to reduce the mortgage firm's overall risk.
The first major change is with respect to credit scoring. All Fannie Mae loans -- whether underwritten electronically or manually -- require a 620 credit score minimum. There are very few exceptions.
A second change relates to loans with private mortgage insurance. Homeowners whose loan-to-value exceeds 80 percent now have a choice:
Should You Lock Your Mortgage Rate In Advance Of Tomorrow's Federal Reserve Announcement?
Tuesday, September 22nd, 2009 at 4:52pm. 39 Views, 0 Comments.
The Federal Open Market Committee starts a 2-day meeting today in Washington.
The scheduled get-together ends at 2:15 PM ET Wednesday after which the FOMC will issue a press release to the markets.
Consider locking your mortgage in advance of the press release.
The FOMC meets 8 times annually and its adjournments are among the biggest market-movers of the year.
The Fed's post-meeting press release is a direct look into the mind of the Federal Reserve and Wall Street is looking for clues anywhere it can find them.
After its August 2009 meeting, the FOMC said in its press release:
Since then, however, credit risks…
Getting an FHA or a VA Loan on an REO Home for Sale?
Thursday, February 19th, 2009 at 9:15pm. 556 Views, 1 Comments.
Orange County REO Homes for Sale + FHA or VA Financing = Some Things to Watch Out For
So you are ready to make the move off the “I’m one of the hundreds, if not thousands, of Orange County home buyers who can finally get into the Orange County Real Estate market but are sitting on the proverbial fence, waiting for the bottom of the market to finally arrive” because you’ve decided that rates are finally low enough and you’ve found the home that works for you. Congratulations!! Best move you’ll make this decade. But here’s the 411 on your upcoming purchase - if you are using FHA or VA financing and are buying an REO (also known as Bank Owned of Lender Owned) home in Orange County today.
FHA and VA Loans Have Property Condition Requirements…
Incredible Interest Rates
Monday, January 5th, 2009 at 9:05pm. 148 Views, 0 Comments.
Last week Freddie Mac released the results of it's survey of 30-Year Fixed Rate Mortgages, down to 5.47% with a 0.7 point. This is the lowest result since they started producing the survey in 1971.
In the Orange County real estate market, even lower rates are being reported, with refinance, purchase, and even non-owner occupied loans under 5%!
No one knows where prices will bottom in this market, but two things are easy to understand - interest rates are at an all-time low, and home prices are 20-40% lower than they were 2 or 3 years ago.
Interest Rates at a 40 Year Low
Tuesday, December 23rd, 2008 at 1:00pm. 100 Views, 0 Comments.
Check out Paul's blog on the recent rate reduction and it's impact on the Orange County real estate market.
Curious about how these rates would translate into a monthly payment for you? Use one of our home search pages to identify a home, click on "Details", then "Mortgage Calculator". You'll need to register if you haven't already, but you can then save searches, save favorite homes, and more.
Mortgage Q&A For Home Buyers
Wednesday, November 26th, 2008 at 10:31am. 323 Views, 0 Comments.
Buying a Fixer, Damaged, or Deferred Maintenance Home in Orange County
Tuesday, October 14th, 2008 at 9:54am. 102 Views, 0 Comments.
Finding the Money to Buy One of the Great Deals on Homes For Sale in Orange County AND Repair the Damage
You know how discouraging it is to look at great homes for sale in terrific neighborhoods in Southern Orange County California only to discover that the baseboards are missing, the once Cafe Latte carpet is now black with mold, the kitchen cabinets do not have knobs and the dishwasher is a wading pool? And do you think in the case of an REO, the bank will pay for any of those repairs?? Well, thankfully there is a loan program available for homes needing repairs that you may be interested in knowing about. It’s call the HUD 203K and here are some highlights:
- …
Interest rates plunge after Fannie and Freddie rescue
Thursday, September 11th, 2008 at 2:47pm. 109 Views, 0 Comments.
According to this week's Freddie Mac Primary Mortgage Market Survey, 30 year mortgage rates dropped almost half a point this week, to an average of 5.93%. What does this mean to you?
"Interest rates for 30-year fixed-rate mortgages are down almost 0.6 percentage points over the past 4 weeks, which will help to spur home purchases and loan refinancing in coming weeks," said Frank Nothaft, Freddie Mac vice president and chief economist. "This means that the monthly principal and interest payment on a new $200,000 loan is over $76 lower than a month ago."
As Real Estate blogger Matt Carter points out, this makes money cheaper, not easier - lenders are still applying stringent guidelines to applications.
Fannie Mae and Freddie Mac are both giant…
