Mortgage Rates in Slight Decline
- By:
- MortgageLoan.com | May 16, 2008
Rates on 30-year mortgages fell for the second consecutive week by 4 basis points to 6.01 percent with an average 0.6 point for the week ended May 15, a weekly survey released by Freddie Mac on Thursday revealed.
The average on 15-year, fixed-rate mortgages, a popular choice for refinancing, rose to 5.60 percent, up from 5.59 percent the previous week.
"Despite the bleak housing market, there was positive news on the overall state of the economy," said Frank Nothaft, vice president and chief economist at Freddie Mac.
"Retail sales, excluding automobiles, rose 0.5 percent in April, over twice that of market forecasts. Also, the consumer price index for April rose less than expected, allaying some market concerns of inflation taking hold," he concluded.
Charges on the 5/1 ARM averaged 0.6 percent, up from 0.5 percent last week, while fees and points on the one-year ARM averaged 0.7 percent compared with 0.6 percent a week ago.
Option ARMs Misused by Borrowers and Brokers
- By:
- MortgageLoan.com | August 08, 2008
As the mortgage meltdown attention is focused firmly on the subprime market there is a subtle, yet alarming trend emerging in special mortgages made to good credit borrowers. Option ARMs, typically made to borrowers with good credit, are estimated by Barclays Capital to reach default rates as high as 48%.
Paulson Turns to Morgan Stanley for Fannie, Freddie Guidance
- By:
- MortgageLoan.com | August 07, 2008
Ahead of Freddie Mac's revelation of $821 million in second quarter losses and in anticipation of Fannie Mae's estimated report of a 15% downturn on Friday, Secretary of Treasury, Henry Paulson tasks Morgan Stanley to assess the current and pending damage to cornerstones of the mortgage market.
Fannie Mae Set to Raise Fees--Borrowers See it in Interest Rate
- By:
- MortgageLoan.com | August 06, 2008
As Fannie Mae prepares for what is certain to be a brutal quarterly earnings report to analysts and investors on August 8, stockholders can rest assured higher fees are on the way.
Pay Option ARMs Next Wave of Foreclosures?
- By:
- MortgageLoan.com | August 06, 2008
While analysts are tabulating and predicting default rates on less-credit worthy subprime portfolios there may be another specter lurking in the shadows of many good credit (prime) mortgage portfolios--payment option ARMs.
Fed Boss in Interest Rate Conundrum
- By:
- MortgageLoan.com | August 05, 2008
Federal Reserve Chairman Ben S. Bernanke faces one of his more challenging Federal Open Market Committee (FOMC) interest rate decisions this afternoon.
IndyMac Files for Chapter 7 Bankruptcy
- By:
- MortgageLoan.com | August 01, 2008
The second largest mortgage lender in the United States, IndyMac has filed for bankruptcy protection less than three weeks after it was seized by federal regulators following a bank run by depositors.
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