With home prices and mortgage rates as low as they are, more parents are asking, “Is it worth buying a more expensive property in order to get my kids into a better school?”
If you ask Deanne Anderson what a top school is worth, she’s got a specific answer: 25 percent of your home’s value.
If you’re a struggling Citi mortgage customer, today’s your chance to get a Citi representative on the phone to help you answer your questions about a loan modification or any other foreclosure-prevention effort Citi has to offer, reports Jean Chatzky on WalletPop.com:
On Wednesday, the company’s foreclosure prevention experts will be on hand to answer questions and provide advice. The lines will open at 7 a.m. December 15 Eastern Standard Time and stay open until 1 a.m. December 16, specifically for CitiMortgage customers who have foreclosure concerns. Experts can provide information about various homeowner assistance programs that may be available. Homeowners can call 1-877-617-9465 or log onto: CitiMortgage.com, New.Citi.com, or Blog.CitiMortgage.com.
Recently, a visitor to HSH.com had a question which they submitted in our “Ask the Expert” section. Their question was, “What is the difference between ‘rate’ and ‘APR’?”
Mortgage rates have come down so precipitously that even homeowners who purchased or refinanced their properties fairly recently may be able to save even more by refinancing again.
These days, you’re probably thinking about pumpkin pie, not points, and cranberry sauce, not credit. But one thing you should be thinking about — a lot — is gravy. No, not the sauce, but the money you might free up by refinancing your mortgage. Here’s how you can calculate your potential savings.
Saturday
Financial stress can be devastating. Studies have shown that financial stress is one of the main causes of divorce. But in today’s society, the past stresses we’ve seen caused by credit card debt seem to have been replaced with the stress brought on by foreclosures. The stress has grown so great for some that we’ve even read reports of borrower suicide.
But this week, a Baltimore woman dealt with her upcoming eviction in a way I haven’t yet seen or heard of: a hunger strike.
Saturday
“Frightened by your upcoming ARM reset?”
There’s nothing scarier than future uncertainty. When it comes to a mortgage and the monthly payments, the majority of borrowers like the stability that comes with a long-term, fixed-rate loan. You can eliminate the fear of an unknown future mortgage payment by choosing a fully fixed-rate mortgage.
Yet with conforming adjustable rate mortgage (ARM) interest rates hovering in the low-to-mid threes, there are more and more borrowers out there who are tempted to refinance back into an ARM. When someone asks me whether or not they should refinance back into an ARM vs a fixed-rate loan, my response is always akin to that old saying, “If the shoe fits, wear it.”
The sheer responsibility that comes with owning a home — making all your payments on time, maintaining the upkeep of the property, etc. — can be a frightening task for those who aren’t prepared. However, before the monthly payments and the lawnmowers, comes the mortgage qualification process.
If you’re in the market to buy a home, achieving the American dream isn’t going to be easy thanks to all the stringent borrowing requirements placed on homebuyers these days.
Will borrowers walk away from their mortgages just because they’re underwater?
In the last few years, home prices have fallen exponentially — by about 30%. This massive drop in prices has depleted homeowners’ equity, resulting in millions of borrowers owing more on their mortgages than their homes are worth. I’m sure you’ve heard of this infamous phenomenon, it’s known as being “underwater” on your mortgage. As the number of underwater borrowers grew, so did the number of homeowners who simply walked away — a.k.a. strategically defaulted — from their mortgages (voluntarily defaulting, even though you can still afford to make the payments).
To hedge against this increasing problem, everyone — from homeowners, to mortgage lenders, to market analysts — has been trying to determine at what point a borrower makes the decision to walk away. Is there an exact amount at which home prices need to fall before a borrower decides to walk away? Is an underwater borrower an automatic threat to strategically default?
Thinking about buying a home? Have you bought a home recently? Perhaps you’re looking to refinance or take out a home equity loan. We want to know all about your home-financing experience — the good, the bad and the ugly.
If you can spare a few minutes, we’ve developed a short survey which asks you questions about your ongoing home-financing experience. We’re looking for responses from first-time homebuyers, repeat buyers and even borrowers who are shopping for refinance and home equity loans.
Today’s post will be a lot like last week’s. Instead of writing one longer piece, I’m going to give you a few ideas to think about over the weekend.
How Will the Financial Reform Impact Mortgages?
From what we know about the bill at this point, the main impact this legislation will have on the mortgage market goes a little something like this: with increased protection comes higher costs and fewer loans: Read the rest of this entry »
HSH.com's daily blog focuses on the latest developments in the mortgage and housing markets. Our mission is to relate how changes in mortgage rates and housing policy, as well as the latest financial news, impacts consumers, homebuyers and industry insiders alike. Our 30-plus years of experience in the mortgage industry gives us an edge as we break down the latest changes in an ever-changing market.
