2009,%2 Mortgage Articles - Mortgage Tips, News Advice

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A Simple Interest Mortgage Can Cost You

By:: Peter King - December 24, 2009

One of the small pitfalls to look out for when shopping for a mortgage has to do with simple interest vs. a standard mortgage. Although the term “simple interest” sounds harmless, it can cost you money if you’re not careful.

By:: Kirk Haverkamp - December 11, 2009

How much of a down payment should you make on your mortgage? Though the usual answer is “whatever you can afford,” it’s really not all that simple – though it’s not difficult to figure out.

By:: Peter King - December 10, 2009

How well are you managing your mortgage? It’s an often overlooked aspect of home finance – many borrowers assume that once they sign the loan papers, their only remaining challenge is coming up with the mortgage payment each month. But there’s a lot more to it than that....

By:: Kirk Haverkamp - November 07, 2009

Getting or refinancing a mortgage when you’re self-employed can be a real challenge these days. With the virtual disappearance of stated income loans, it’s become much more difficult for anyone who doesn’t get a regular paycheck to qualify for a home loan. But it still can be...

By:: Kara Johnson - November 05, 2009

So you’ve found the house of your dreams. The price is right, the buyer accepts your offer and your lender has already prequalified you for a mortgage of that size. So you submit your paperwork, the lender takes it under consideration and then after a few weeks –...

By:: Kara Johnson - October 29, 2009

Consider this: right now, you can purchase a home with a 15-year mortgage and end up with a monthly payment that is far less than you would have paid for the same property under a 30-year loan only three years ago. Sound interesting? Read on.

By:: Kirk Haverkamp - October 23, 2009

One of the questions that pops up when buying a home or refinancing a mortgage is should you use a mortgage broker? A broker can help you find a good deal on home loan and simplify the process of shopping for a mortgage, but often at a higher cost than if you'd obtained the loan yourself. So what...

By:: Kirk Haverkamp - October 19, 2009

How much will you need to spend on home maintenance? It's a crucial thing to know when figuring out what you can afford when taking out a mortgage to buy a house, but one that many potential homeowners pay shockingly little attention to.

By:: Kirk Haverkamp - October 14, 2009

Thinking about buying a home but nervous about doing so in today's economy? Do you already own a home and are worried about what would happen if you lose your job? You may want to consider unemployment mortgage insurance.

By:: Kirk Haverkamp - October 12, 2009

Time is rapidly running out on one of the best deals going for homebuyers. No, not the $8,000 first-time homebuyer tax credit - although that's due to expire Nov. 30. A more urgent deadline is the closing cost assistance offered under Freddie Mac's HomeSteps SmartBuy program, which expires at the...

By:: Peter King - October 09, 2009

Mortgage interest rates are unusually low right now, close to all-time lows for a 30-year fixed rate loan. So with rates already so low, is it worth paying points to try to get the rate even lower?

By:: Kara Johnson - October 07, 2009

Mortgage rates are low, low, low right now - close to all-time minimums. But those low rates can still cost you an awful lot of money if you're not careful to avoid some of the serious mistakes people make on home loans when buying a home or refinancing.

By:: Peter King - October 02, 2009

If you're thinking about buying a home, chances are you're not planning to do it by yourself.So how do you go about getting a mortgage or buying a home by two or more people? There are two main ways to do it - either through a joint mortgage or by joint ownership

By:: Peter King - September 30, 2009

What will your mortgage or refinance actually cost you? Many borrowers focus only on the interest rate, because that's the main thing that determines what you're going to pay. Unfortunately, they too often ignore a wide range of other factors that will affect what the overall cost of your mortgage...

By:: Peter King - September 26, 2009

Thinking about buying your first home? There's a lot of good reasons to do so right now - bargain prices, low mortgage interest rates and that $8,000 first-time homebuyer tax credit. But for the first-time homebuyer, it can be intimidating.

By:: Peter King - September 21, 2009

The current housing market offers some great opportunities for those interested in buying a fixer-upper. The combination of low housing prices and mortgage rates, plus depressed demand for skilled labor and building materials, makes it an attractive time for buying a fixer-upper if you have the...

By:: Kirk Haverkamp - September 16, 2009

Coming up with the down payment for a mortgage can be the single biggest obstacle to home ownership for many aspiring homeowners. For some, tapping into their Roth IRA can provide the necessary funds. The question is, do you really want to break that particular piggy bank?

By:: Kirk Haverkamp - September 04, 2009

A bi-weekly mortgage is often touted as a fairly painless way for a homeowner to pay off their mortgage faster and save tens of thousands of dollars in the process. But is it really such a good idea?

By:: Kirk Haverkamp - September 01, 2009

Buying a home, unlike most purchases Americans make, involves negotiation. And to negotiate successfully, you have to know what's on the market.But prices may not always follow the classic rules of supply and demand.

By:: Kirk Haverkamp - August 31, 2009

Mortgage rules are about to change, with new consumer protections going into effect on Oct. 1.

By:: Peter King - August 28, 2009

Despite the current combination of low interest rates and housing prices, many would-be homebuyers are still leery of jumping into the market at this point. Fearful that home prices may yet drop further, they're holding out for stronger signs of an economic recovery and a bottomed-out housing...

By:: Kara Johnson - August 26, 2009

Though it hasn't attracted much attention, Fannie Mae has issued new lending guidelines effective Sept. 1 that will significantly influence how home mortgages are written.

By:: Kirk Haverkamp - August 11, 2009

There's a new tax credit for first-time homebuyers in New York state that allows them to deduct 20 percent of their mortgage interest payments from their federal income taxes. Better yet, it allows them to do it for the life of the loan.

By:: Kara Johnson - July 23, 2009

For a retiree with a mortgage, what's the best option? Use your accumulated savings and investments to pay off the mortgage and live debt-free? Or to hang onto those savings and investments to provide liquidity and earnings, while continuing to pay down the mortgage as usual?

By:: Kirk Haverkamp - July 22, 2009

For those fortunate enough to be secure in their employment and finances, the current housing market is very appealing. But for current homeowners who are looking to move up, things can be a bit more challenging right now than for those who are buying for the first time.

By:: Peter King - July 20, 2009

For homebuyers, there are a lot of good deals on foreclosed properties right now, especially with mortgage rates being as low as they are. And Freddie Mac has just sweetened the deal.

By:: Peter King - July 06, 2009

You don't often hear about 25-year mortgages, but it's one of the newest options the Obama Administration is adding to the mix under its Making Home Affordable Program.

By:: Kara Johnson - June 25, 2009

With all the attention that's been focused on the Making Home Affordable program, it's easy to forget there are other options out there for reducing your mortgage payments. And if you have an FHA or VA mortgage, there's one that's simply fantastic - a streamline refinance.

By:: Catherine Brock - June 16, 2009

Foreclosure and short-sell deals can get you into a home on the cheap. Are you prepared for a potentially convoluted transaction?

By:: Greg Mischio - June 13, 2009

Are you shopping for a mortgage refinance? Or is "buying home" at the top of your to-do list? In either case, you'll want to ask a mortgage broker or lender some important questions during a mortgage interview. Here is a list of several key questions to get the ball rolling.

By:: Tom Kerr - June 11, 2009

A few years ago, many Americans leveraged their rising home equity to purchase second home or vacation home properties. Right before the real estate bubble burst, for example, most of the residential sales involved a second home. But that holiday home era is now a relic of the past.

By:: Catherine Brock - June 09, 2009

The housing market is rough right now, but the market for vacation homes is even worse.

By:: Catherine Brock - June 08, 2009

Becoming a first-time homebuyer and getting that first mortgage isn't hard when you know what to expect.

By:: Catherine Brock - June 06, 2009

Options are few and far between for second homeowners who can't afford the mortgage anymore. But you can always attempt the refinance second home process.

By:: Catherine Brock - June 05, 2009

Sparse oversight in the mortgage industry is likely to have played a role in the current mortgage crisis. Mortgage fraud and predatory lending are now a hot topic on Capitol Hill.

By:: Tom Kerr - May 30, 2009

President Obama's first 100 days in office are under review, and many question his effectiveness at dealing with the housing and mortgage crisis. But for the most part, the kind of impact that his economic stimulus initiatives might have on real estate and mortgage markets remains to be seen.

By:: Tom Kerr - May 27, 2009

The homeowner strategy of walking away from foreclosure homes when home values plummet below the outstanding mortgage balance has now been given a new twist by lenders. Banks are refusing to take back foreclosure properties, leaving homeowners to assume responsibility for their upkeep.

By:: Catherine Brock - May 26, 2009

If you're one of the millions of American homeowners who are upside down on his home mortgage, help is on the way.

By:: Tom Kerr - May 24, 2009

Millions of Americans are facing foreclosure but are unable to refinance mortgages because of lost home equity. Before you walk away from repaying your mortgage, consider the serious consequences, and first attempt some kind of loan modification.

By:: Catherine Brock - May 22, 2009

A bad mortgage situation can quickly get worse if you become a victim of mortgage fraud.

By:: Catherine Brock - May 19, 2009

Deciding whether to pay off your mortgage or pad your investment account isn't as simple as running a few calculations.

By:: Catherine Brock - May 18, 2009

Private mortgage insurance is back in vogue. Do you know how it's going to affect your home purchase or refinance?  

By:: Greg Mischio - May 17, 2009

It's a great time to be a first-time homebuyer. Interest rates are low, inventory is booming, and there are government incentives to help you buy. If "purchase home" is at the top of your priority list, this is the time to do it.

By:: Tom Kerr - May 14, 2009

As rampant inflation gradually gets squeezed out of home prices, many first-time homebuyers are finally able to afford a house. Lower rates on purchase mortgages-including popular FHA mortgage products-also make it easier for new homebuyers to take the ownership plunge.

By:: Catherine Brock - May 13, 2009

This program agrees to pay up to $1,500 per month to eligible, insured homeowners if they become involuntarily unemployed or accidentally disabled. The monthly benefit is available for up to six months. CAR, which is paying the first year's insurance premium, has said the program could help as...

By:: Greg Mischio - May 08, 2009

A welcome new trend is underway, the likes of which hasn't been seen by the beleaguered real estate industry in years. New incentives and extremely low mortgage rates are inciting the typical first time homebuyer to start shopping once again.

By:: Tom Kerr - May 03, 2009

One of the most important initiatives to help people through the foreclosure crisis is the new "Making Home Affordable" loan modification program. Under the plan, millions of borrowers are entitled to a loan modification, as long as they qualify for this special government assistance...

By:: Catherine Brock - May 02, 2009

One developer is addressing the unemployment concerns of tentative condo buyers with mortgage payment protection coverage.

By:: Catherine Brock - May 01, 2009

Seller financing is becoming more prevalent as home sellers bend over backwards to lure in purchasers. Homebuyers may be surprised to learn, however, that seller financing isn't always the perfect arrangement.

By:: Catherine Brock - April 29, 2009

Lenders will eyeball more than just your credit score to make a decision on your mortgage application.

By:: Tom Kerr - April 26, 2009

Banks fled from jumbo mortgages last year as the mortgage crisis began to take its toll on their balance sheets and defaults on jumbos accelerated. Now, however, they're back in the jumbo market and lending to customers in need of these extra large home loans at reasonable rates.

By:: Catherine Brock - April 24, 2009

The Obama Administration is supporting its Making Home Affordable initiative with a website that offers guidance and advice to troubled homeowners.  

By:: Catherine Brock - April 21, 2009

The agency that now runs Fannie Mae and Freddie Mac will reign in Fannie and Freddie's affordable housing goals. The announcement comes as a subtle admission that affordable housing legislation created instability and imprudence in the mortgage lending industry.

By:: Catherine Brock - April 20, 2009

Fannie Mae and Freddie Mac now have stricter guidelines for mortgages made to condominium buyers. The changes could leave some would-be condo owners without affordable financing.

By:: Catherine Brock - April 12, 2009

Federal programs and housing prices present a compelling argument for first time homebuyers to make their move, even before the market demonstrates signs of recovery.  

By:: Catherine Brock - April 02, 2009

Former Countrywide execs aren't done making money on the subprime crisis just yet; now they have a plan to profit by saving homeowners from foreclosures.

By:: Greg Mischio - March 30, 2009

Because of the poor economy, people are desperate for employment, and they're frantically applying anywhere and everywhere in hopes of landing a job. Now is not the time for a spray-and-pray job search approach, however. It's a time to assess your skills, and match them with the right job for you.

By:: Tom Kerr - March 21, 2009

President Obama unveiled his own agenda regarding foreclosure prevention through government assistance and more aggressive loan modification programs. Meanwhile, major banks also agreed to be more proactive with foreclosure moratoriums to rescue American homeowners. 

By:: Catherine Brock - March 20, 2009

Tired of hearing mortgage lenders say "No?" It's a new era in mortgage lending, one that withholds mortgage loans from all but the most organized and qualified applicants.

By:: Greg Mischio - March 18, 2009

Predatory lenders have wreaked havoc on unsuspecting homeowners as well as on our global economy. The slumping real estate market necessitates that you protect yourself from predatory lending, now more than ever.

By:: Tom Kerr - March 17, 2009

Treasury Secretary Timothy Geithner finally made his long awaited announcement regarding TARP bank and mortgage bailout plans. But his outline was so vague that it only seemed to exacerbate the financial crisis by making the stock market plummet.

By:: Catherine Brock - March 14, 2009

New mortgage borrowers can save as much as 10 percent on their home purchase, just for buying their first home in 2009.

By:: Catherine Brock - March 11, 2009

As the mortgage crisis continues to wreak havoc on households and housing values, a group of high profile state officials are lobbying for bankruptcy court-ordered loan modifications.

By:: Catherine Brock - March 08, 2009

An informal survey indicates that most Americans would support government-funded mortgage payment relief. Is this a cockeyed plan, or a viable solution to reinvigorate the economy?

By:: Tom Kerr - March 06, 2009

Mortgage brokers have lost the ability to shop around for as many lending options for their clients, because banks are no longer working with mortgage brokers with many of their products. The shift will put many brokers out of business, and possibly limit consumer choices.

By:: Catherine Brock - March 04, 2009

Partisan battles over the economic stimulus plan continue, as Republicans try in vain to push mortgage rates down with government subsidies.

By:: Tom Kerr - March 01, 2009

As the president tries to cure the economy, he's calling for stricter banking regulations and more oversight of mortgage brokers. He hasn't revealed specific mortgage license guidelines yet, but they'll likely include numerous kinds of oversight and consumer protections.

By:: Catherine Brock - February 28, 2009

The door has been kicked wide open for community banks to gain a foothold in mortgage lending, as national financial institutions work to recover from rising mortgage loan losses.

By:: Tom Kerr - February 27, 2009

Some analysts have concluded that a push for home ownership may be responsible for causing the subprime mortgage crisis. Studies reveal that while minorities gained in terms of homeownership, they were also sold an inordinate portion of high-risk mortgage loan products.

By:: Catherine Brock - February 24, 2009

Lawmakers want to change bankruptcy laws to fix the mortgage market. Could that change backfire and create a new mortgage meltdown?

By:: Tom Kerr - February 23, 2009

For years, appraisers have complained that they're routinely pressured by mortgage brokers to tweak home values and influence housing prices up or down. But now, fresh regulations are going into effect that are intended to put a stop to this kind of unfair tampering and tinkering.

By:: Catherine Brock - February 22, 2009

Capitol Hill's plans for economic recovery are still uncertain, as Obama's economic team lobbies Congress for the remaining TARP funds, and then some.

By:: Tom Kerr - February 18, 2009

Federal Reserve chairman Ben Bernanke has said that he wants to get back to the basics when it comes to spending the remaining TARP funds. In a speech at the London School of Economics, he also said that to fix the economy, the financial and credit markets must first be repaired.

By:: Tom Kerr - February 04, 2009

The trillion-dollar question on every economist's mind is whether or not housing prices are going up or coming down. Many experts believe that home prices are seeking their bedrock bottom level, but that prices and home equity valuations won't turn around until at least 2010.

By:: Tom Kerr - February 01, 2009

After devastating setbacks during 2008, when its stock plunged and its mortgage portfolio became increasingly toxic, Freddie Mac is bouncing back. After nearly collapsing and being taken over by the government, the agency has reported a record surge in its mortgage business.

By:: Tom Kerr - January 22, 2009

As banks hoard Troubled Asset Relief Program (TARP) funds provided by the $700 billion bailout plan, the mortgage crisis continues. Advocates for foreclosure loan modification relief are now demanding that TARP money be spent to help homeowners rework troubled mortgages.

By:: Tom Kerr - January 20, 2009

While the economy remains a shipwreck, many experts predict a second wave of the mortgage crisis involving Alt-A and Option ARM loans. But even more alarming is that some industry observers expect this new phase of the crisis to be worse than the original subprime fallout.

By:: Catherine Brock - January 19, 2009

In the years when real estate was booming, home equity values grew much faster than inflation, personal income, and rent metrics. Assuming that those values have to get back to where they would've been without that excessive growth, it might be a long time before home prices start increasing again.

By:: Anders Bylund - January 17, 2009

Banking disasters in other markets could help us understand the one we have here now.

By:: Tom Kerr - January 13, 2009

FDIC head Sheila Bair is inspiring some of her fans to say that she's the only consumer advocate on Capitol Hill. Bair has been aggressive about loan modification strategies as a foreclosure prevention plan to help the average homeowner. But she's not liked by everyone.

By:: Catherine Brock - January 12, 2009

The foreclosure problem has stymied the feds. Treasury and Federal Reserve officials are now considering programs that would provide direct help to at-risk homeowners, as other foreclosure prevention efforts have failed to produce results.

By:: Catherine Brock - January 09, 2009

The U.S. is in a recession, and some predict that it will turn into the next Great Depression. Before you get worried, however, remember the protections you have now that weren't available in the 1930s.

By:: Greg Mischio - January 09, 2009

If you're a first time homebuyer, you're probably wishing for a crystal ball. In the slumping home market, it's hard to know if you should make that mortgage loan purchase on a new house. Mortgage rates are low, and could possibly get lower. Is this the right time to buy?

By:: Tom Kerr - January 08, 2009

The public is focused on the Big Three auto companies and the controversial $700 billion Treasury bailout plan. Meanwhile, boring things, such as initiatives to financially support commercial paper, are actually making the most progress toward fixing our economy.

By:: Catherine Brock - January 07, 2009

The economy is a mess, and a fast recovery has become little more than a pipe dream. President-elect Barack Obama says his brain trust is working on a recovery plan, but warns that there are no easy solutions.

By:: Tom Kerr - January 04, 2009

Delinquencies and defaults on mortgage loans, as well as foreclosures on homes, are soaring, despite the well-advertised efforts of politicians and economists. New waves of foreclosures and delinquencies could be up ahead, too, as the recession continues.

By:: Catherine Brock - January 01, 2009

Housing prices are still being pressured downward by foreclosure and unemployment trends.