Monthly Archives: April 2009

Author : Ki Gray

Mortgage interest rates moved down this week 30 Year rates feel back below 6 dropping from 6 10 last week to 5 94 15 Year rates all fell quite a bit going from 5 78 last week to 5 63 this week Below are rates for the major mortgage products for the last few weeks

October 9, 2008

30-yr 5 94 15-yr 5 63 5-yr ARM 5 90 1-yr ARM 5 15

October 2, 2008

30-yr 6 10 15-yr 5 78 5-yr ARM 6 00 1-yr ARM 5 12

September 25, 2008

30-yr 6 09 15-yr 5 77 5-yr ARM 6 02 1-yr ARM 5 16

September 18, 2008

30-yr 5 78 15-yr 5 35 5-yr ARM 5 67 1-yr ARM 5 03

One thing that stands out is Arms are looking less and less attractive Arms are loans that start adjusting after a certain number of years When Arms adjust upward and homeowners cannot make the new higher payments they frequently lead to foreclosure It seems that banks are finally looking to make Arms less attractive I have wondered why they didn’t do this in the past Looking at today’s rates there is almost no reason to get a 5 year Arm over a 30 year fixed rate mortgage Currently a 30 Year fixed rate mortgage is 5 94 and a 5 Year arm is 5 90 Considering the added stability of the 30 Year fixed rate mortgage the small difference in the interest rate hardly seems worth it Let’s look at what a mortgage would be using our free mortgage calculator for a 200k loan We also ran the numbers for mortgage interest rates from last week and in the middle of the summer

October 9th

30-yr $1191 39

15-yr $1186 27

5-yr ARM $1647 99

1-yr ARM $1092 05

October 2nd

30-yr $1211 98

15-yr $1664 03

5-yr ARM $1199 10

1-yr ARM $1088 35

July 24th

30-yr $1281 28

15-yr $1707 22

5-yr ARM $1219 75

1-yr ARM $1134 32

So again looking at the rates it’s pretty obvious the 5 year loan does not provide much of a benefit compared to a 5 year loan If we look back to July 24th we can see that in general the difference between the 30 year fixed mortgage product and a 5 year arm is greater

The other trend we have been seeing is the growing gap between owner occupy and investment loans Since lenders are seeing more foreclosures with investment loans they have been charging a higher interest rate for investment loans So while mortgage interest rates for owner occupy loans have fallen over the last month mortgage rates for investment loans have held steady That said I think investment properties are pretty attractive right now in spite of higher interest rates This is basically because we have seen prices falling more for investment properties and therefore making them a better bargain The last question is what is going to happen with rates moving forward I can’t really say if they will go up or down but I expect rates to remain volatile as long as the rest of the financial markets remain volatile Therefore, if you are looking at buying a property I would lock an interest rate early and monitor the rate afterward in case it drops and you can relock the interest rate

Ki writes regularly about mortgage interest rates. His site has a tool that graphs mortgage interest rates. He also provides a free mortgage calculator and graphs of mortgage rate trends.

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Author : Ed Staff

Recent changes in loan modification law and regulations have made it more accessible to more people, thus opening up additional possibilities to those at risk for losing their homes to foreclosure But if you’ve been looking into loan modification, you might have ended up with even more questions than you started with

The truth is that the process is more complex than it sounds That’s the reason why good loan modification companies have the masters of complexity — attorneys — on hand to ensure that their clients get the best deal possible and that all regulations are complied with

To help clear things up, here are answers to a few of the most common questions people have regarding loan modification

Won’t a refinance do the same thing and cost me less?

No A refinance, at best, will get you a lower interest payment and is only a possibility if you are in good standing If you’ve fallen behind or are at risk for foreclosure, refinancing won’t be an available option Furthermore, loan modification has the potential to lower your interest rate much more than a refinance as well as offer several other options to make your mortgage more affordable

How else, besides having my interest rate lowered, can I be helped?

There are several changes a lender may agree to, the more common of which can include any combination of the following:

- Extending the term

- Forgiving late fees and penalties

- Rolling up of missed payments into the principal balance

- Lowering the principal balance

Which options will be available to you depend largely on your particular situation

I’m not behind on my payments Can I still qualify?

Yes Being behind on your payments is not a requirement However, it will probably be a less difficult process and you are more likely to get a better deal if you are behind But before you go missing payments just so you can get a better deal, consider the effect it will have

Missing payments will cause your credit score to take a hit If you haven’t missed any payments and have been able to maintain good credit up to now, you might want to retain your clean record A loan modification won’t have a negative impact on your credit rating, and it might be worth it to keep your credit clean, even if it means not getting as good of a deal

I tried working with my lender directly, and they refused to negotiate with me Is there any hope for me?

Absolutely! If it isn’t in the bank’s best interest to work with you to modify your mortgage, then you can bet they’ll do all they can to avoid it But a good loan modification company, backed by attorneys, has plenty of tools that they can use to bring a lender to the negotiation table The law is often on your side, and lawyers will have the knowledge and experience to take full advantage of it

Whatever your situation, your best option to learn more about how loan modification can work for you is to talk with a loan modification company or attorney The sooner you do so, the better your chances of staving off a foreclosure are and the sooner you can start saving money on your mortgage payments

Federal Loan Modification Law Center, LLP preserves the American Dream of Homeownership by successfully renegotiating loan agreements between homeowners and lenders. Our team of attorneys and real estate experts works closely with lenders to negotiate the best possible loan modification solutions for homeowners who qualify. Ed Staff is a freelance writer.

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Author : Yuwanda Black

One of the most often-asked questions many new foreclosure cleaning business owners have is how to price their services Especially if you have no previous business experience, it can be difficult to know exactly how to do it so that you don’t under charge or over charge

Following are three things to keep in mind which will get you on the road to pricing your foreclosure cleanup services right

Know What You’re Pricing: Underpricing is one of the main reasons many small business owners fail If you own a foreclosure cleaning business — ie, a service business — it’s particularly important to figure in the “cost” of time and labor And, this is why so many small business owners fall short in their pricing

So, how do you come up with a fee for your time and labor Quite simply, think of yourself as a hired worker How much would you hire yourself out for, eg, $10/hour, $15/hour, $20/hour, etc Then, you simply add that on to the cost of “hard goods,” which brings us to the next item on the list — the cost of supplies

Pricing Supplies: Pricing supplies for your foreclosure cleaning business is very easy You can do it in a couple of ways:

(i) Visit local stores that sell cleaning supplies This can a Lowe’s, Home Depot or Sam’s Club It’s best to visit those that sell in bulk, because ostensibly, that’s how you will be buying supplies Spend several hours visiting several outlets and write down the prices This is business research and will serve you well for a long time You’ll be able to price jobs much more quickly when you know off the top of your head in and around what supplies cost

(ii) The second way to find out the cost of supplies for your foreclosure cleaning business is to buy some and do a cleaning job Start with your house or the house of a friend This is good because not only will you find out the cost of supplies, you’ll find out how much of each it takes to clean a home of say, 2,000 square feet

This will also give you insight into how many hours you will spend to clean a house of this size, which means you can figure out how much to pay yourself (or workers) for labor

Check the Competition: One of the most important things you need to do when trying to figure out how to price your foreclosure cleaning services is to find out what the competition is charging While you may want to pay yourself say $25/hour, you may find out that this cost is making you much more expensive than the competition, so you need to scale back to $20/hour

Simply call up a few companies and pretend to be a customer in need of their services (yes, it is a little underhanded, but it is done all the time in the name of free enterprise; it’ll happen to you to if you start a business, so don’t think you’re doing anything terrible) Be prepared to give specifics, ie, how many square feet, what services you need done, etc

Another advantage of doing this is that you get a good idea of how to handle service calls Pay attention to how they question you, what they ask you, how they ask to schedule appointments, etc ) You can use this information so formulate your own phone consultations

If you do these three things, you will be able to price your foreclosure cleaning services almost right And the reason we say almost is because there is a lot of on the job learning in this buisness Every foreclosure cleanup job is different and you will learn from each one that you do

But, if you’re new to this business — or small business in general — these are excellent tips to use to start pricing your foreclosure cleaning jobs

To learn everything you need on how to start a foreclosure cleaning business, log on to http://ForeclosureBusinessNews.com for 200 pages of first-hand information from the owner of a leading foreclosure cleanup company in Atlanta, GA.

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Author : Kurt Naulaerts

Mortgage refinancing is replacing your current home loan with a new home loan at a lower interest rate The market offers numerous mortgage options: conventional loans, VA loans, FHA loans, sub-prime loans, home mortgage refinancing, jumbo loans , ARMs, balloons, construction to perm, first mortgages, second mortgages, credit lines, and more All these options come with different rates, terms, and qualifying factors

There are some factors you should consider before committing to a refinancing mortgage You should have a clear understanding of the term of the loan you need When determining this you need to take into consideration you current and anticipated living conditions How far away are you from retirement? How many of your children will still be living at home through the duration of the loan? What will I use the refinancing loan for?

Be prepared before you go in to discuss refinancing your mortgage with the financial institution For some people it may have been 10 or more years since your last in depth discussion about mortgages Prepare yourself by reading a few articles on mortgage refinancing and familiarize yourself with the terms and potentially some of your options This will let the mortgage lender know that you have a basic understanding of the process and it is less likely that they will try to sign you up for something that does not fit your needs The better informed you are, the more money you can potentially save

Many times by doing a comparison it will become very clear to you whether mortgage refinancing is best for you or not To summarize a good mortgage refinance is one that improves your financial situation today and in the long term There are many sites online that are designed to help you decide if refinancing your mortgage is right for you These sites can provide you with a specialized mortgage refinance service that is tailored to meet your specific mortgage requirements Mortgage Refinancing Rate fees and expenses are very similar to the ones you paid when you took out your first mortgage These expenses include a survey, appraisals, underwriting, and attorney fees Knowing this information will better prepare you for meeting with your financial institution

Know your credit score before going in to discuss refinancing you mortgage Look at some tips for improving your credit score immediately There are many little thing you can do which will improve your credit in less than one month The credit score you take into applying for mortgage refinancing will determine the amount and interest rate you are able to receive

There are many options available to you after you have made the decision to refinance your mortgage The better informed you are before you fill out any application the more money you can potentially save

We have been involved with the mortgage industry for over 25 years. We have written countless informative articles on refinancing your mortgage. To view more on the mortgage industry please visit our new and informative website.
http://www.mortgageloan-network.com

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Author : Ben Franklin

When you’re in the market for a new home, one of the biggest concerns on your mind likely will be the financing For the new homeowner, the knee-jerk reaction might be to accept the first mortgage offer that comes their way, but that’s not always the best move To get the best home mortgage rate, it’s important to shop around, look at all the options and be picky about what you agree to

The best home mortgage rate will be impacted by a number of things It’s important to remember, too, that the best mortgage rate for one person will likely not be the best for another Rates that are offered by banks and other lenders are determined by a number of different factors, so the best rate for one person might be very different than another is offered

As you shop around for the best mortgage rate for your situation, you’ll find the rates offered are dependent on a number of different things These include:

* Credit score This is one of the biggest factors potential lenders look at when they offer you what they can give you The better your score, the more likely you will be offered a rate that’s reasonable Banks have to make money, too

* Income to debt ratio Even if you have perfect credit, if you don’t have the income a bank would like to see, it’s possible you won’t see the best mortgage rate for your home If you have more debt than lenders want to see, consider paying some of it off before shopping around You might even need to close a few accounts and wait a brief while after doing so to make sure your credit score improves

* Income Banks will want to see what your income level is and be able to verify it before they make you an offer

* The current home mortgage rate Almost every mortgage loan going will have rates that are dependent on the “prime rate ” The higher the going rate, the higher the rates you’ll be provided by banks no mater how good your credit is

* Value of the home Interest rates are sometimes dependent on the value of the home a buyer wants to purchase The more equity you can get right off the bat, the more likely you are to get the best rates available

* Your down payment Since your down payment will help determine how much equity you’ll have in the home going into the deal, it’s important to make sure you have a good one Even if it takes a few years of saving, coming into a deal with a good down payment sitting in the bank can really help net you the best home mortgage rates

Buying a home is not like buying a pair of shoes It’s a huge investment in you and your future The more work you do on the front end to fix credit issues and ensure you’re a good candidate for a loan the better The more you do to help yourself, the more likely you are to get offered the best home mortgage rate going or close to it

More information on getting the best home mortgage rate for your situation

getting the best home mortgage rate for your situation

http://www.mortgagecalculatorzone.com

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