Bankrate.com Mortgage Trend Index (May 22, 2008)

I am a regular participant in the Bankrate.com Mortgage Rate Trend survey and this week's survey is now available. As a reminder: The survey is for conforming loans only. Asking "Where are rates headed?" is not mortgage strategy -- it's a mortgage gamble. You can always call or email me for help...

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[Source: The Mortgage Reports Blog]

Bankrate.com Mortgage Trend Index (May 29, 2008)

I am a regular participant in the Bankrate.com Mortgage Rate Trend survey and this week's survey is now available. As a reminder: The survey is for conforming loans only. You're welcome to email me about your pending plans to purchase or refinance. I twitter market updates a few times daily. Follow...

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[Source: The Mortgage Reports Blog]

Wait! Before You Ditch That ARM, Make Sure Your Mortgage Rate Won't Be Adjusting Lower

Homeowners with ARMs often assume that they have to remortgage when their home loan reaches the end of its fixed-rate period. They automatically think their mortgage will adjust higher and that a new mortgage could provide payment relief. Looking at the chart above, we can see how that type of...

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[Source: The Mortgage Reports Blog]

3 Reasons Why Mortgage Rates May Fall in May

Last week, the Federal Reserve lowered the Fed Funds Rate by a quarter-percent but it wasn't the Fed's actions that mattered most to markets. It was what the Fed said that did. In its press release, Ben Bernanke & Co. specifically mentioned that: The U.S. economy is stabilizing over the near-term...

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[Source: The Mortgage Reports Blog]

Bankrate.com Mortgage Trend Index (May 15, 2008)

I am a regular participant in the Bankrate.com Mortgage Rate Trend survey and this week's survey is now available. As a reminder: The survey is for conforming loans only. Asking "Where are rates headed?" is not mortgage strategy -- it's a mortgage gamble. You can always call or email me for help...

Read the full post at http://www.themortgagereports.com

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[Source: The Mortgage Reports Blog]

Parsing the Fed (April 30, 2008 Edition)

The Federal Open Market Committee cut the Fed Funds Rate by 0.250 percent today. The Fed Funds Rate is now 2.000% after the FOMC's seventh cut in eight months. Normally, a cut in the Fed Funds Rate pushes mortgage rates higher. So far, though, mortgage rates appear to be improving. This is because...

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[Source: The Mortgage Reports Blog]

The Oil-to-Mortgage-Rates Chain Reaction

When energy costs increase, there are two ways it can knock the economy out of equlibrium: Businesses cut back on spending, creating a recessionary ripple effect Business pass on higher costs to consumers, creating an inflationary ripple effect But when energy costs increase rapidly, the ripples...

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[Source: The Mortgage Reports Blog]

Misleading Charts In The Media : Foreclosures Versus Home Prices

This is a chart from RealtyTrac's Q1 2008 Foreclosure Report. It is misleading. A common conclusion that people make from charts like this is that foreclosures are the cause of falling home prices. That's false. There may be a relationship between the two, but one doesn't necessarily cause the...

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[Source: The Mortgage Reports Blog]

Bankrate.com Mortgage Trend Index (May 8, 2008)

I am a regular participant in the Bankrate.com Mortgage Rate Trend survey and this week's survey is now available. As a reminder: The survey is for conforming loans only. Asking "Where are rates headed?" is not strategy -- it's a gamble. Reach out to me directly for help with a personal mortgage...

Read the full post at http://www.themortgagereports.com

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[Source: The Mortgage Reports Blog]

Excel Formulas : How To Calculate Your Mortgage Payment

"Can you run payments for me?" It's one of the most common questions that my home-buying clients ask me. They find a home in, say, Montgomery and want to know what their monthly mortgage payment look like. Some loan officers find it tedious to calculate mortgage payments, but I happen to enjoy it....

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[Source: The Mortgage Reports Blog]

How The "Declining Markets" Designation Is The 2008 Equivalent Of 125% Home Loans

Using mash-up software, the graphic depicts Countrywide Home Loan's "declining markets" against a map of the country. The brighter the "spot", the more that housing values are expected to fall in that locale. It's no wonder that home appraisals are under tremendous scrutiny lately -- many parts of...

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[Source: The Mortgage Reports Blog]

The Misleading Nature Of Consumer Confidence Surveys

This photo was taken last week immediately after my first $60 tank of gas. I mumbled under my breath for a few minutes, then called my wife. I wasn't angry, mind you. Just mindful of the fact that I spent $60 on a tank of gas. Multiply my incredulity times all of the drivers in the country and...

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[Source: The Mortgage Reports Blog]

Fannie Mae Cheatsheet : New Guidelines Start Monday, June 2, 2008

This weekend, Fannie Mae is overhauling its mortgage approval system. Earning an "Approve/Eligible" is going to be decidedly tougher than in the past. For home buyers that have been in the market since January, this is not news; Fannie has been steadily trimming its serviceable market. Its changes...

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[Source: The Mortgage Reports Blog]

Closing In May, June, July, And August Deserves Advance Planning

Between Memorial Day and Labor Day, home buyers should take special care to schedule their purchase closings with three simple rules in mind: Don't close on a Friday Don't close in the afternoon Don't close on the last day of the month You stick with that, the rest is cream cheese.

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[Source: The Mortgage Reports Blog]

The Mortgage Market Brain Dump

There's a scene in Awakenings when Dr. Sayer theorizes about Leonard's condition. He wonders if the trance-like paralysis is the result of an extreme tremor: If compulsions in the patient were somehow accelerated --- the hands, the shaking, the tics, the head bobbing, the quickening speech -- might...

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[Source: The Mortgage Reports Blog]

Bankrate.com Mortgage Trend Index (May 1, 2008)

I am a regular participant in the Bankrate.com Mortgage Rate Trend survey and this week's survey is now available. As a reminder: The survey is for conforming loans only. Asking "Where are rates headed?" is not strategy -- it's a gamble. Reach out to me directly for help with a personal mortgage...

Read the full post at http://www.themortgagereports.com

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[Source: The Mortgage Reports Blog]

Why $150 Crude Oil Won't Matter (And Why $200 Crude Oil Won't Matter, Either)

Crude oil crossed $130 per barrel last week, taking gas prices along for ride. Over the last 90 days, unleaded gas is up 25 percent and appears to be heading higher. Americans are battered by higher pump prices but are still living their lives. Unfortunately, the mainstream media throws salt on the...

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[Source: The Mortgage Reports Blog]

For Truth-in-Housing, You Have To Know Where To Look

Each quarter, the Federal Reserve surveys 84 U.S. banks about demand for loan products and general banking conditions. It's like "street reporting"; a pulse of what's really happening behind retail bank walls. Almost always, it paints a different picture of lending from what's being reported on the...

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[Source: The Mortgage Reports Blog]

Myth Busted: Relationship Between ARM and Fixed-Rate Mortgages

There are a lot of mortgage myths that Americans confuse for truth. One of them is that adjustable-rate mortgages always carry lower rates than fixed-rate mortgages. As the chart shows us, that's false. But even when ARMs are lower than fixed-rate, that doesn't mean they're the better "low payment"...

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[Source: The Mortgage Reports Blog]

Why $150 Crude Oil Won't Matter (And Why $200 Crude Oil Won't Matter, Either)

Crude oil crossed $130 per barrel last week, taking gas prices along for ride. Over the last 90 days, unleaded gas is up 25 percent and appears to be heading higher. Americans are battered by higher pump prices but are...

Read the full post at http://www.themortgagereports.com

Read More...

[Source: The Mortgage Reports Blog]

The Oil-to-Mortgage-Rates Chain Reaction

When energy costs increase, there are two ways it can knock the economy out of equlibrium: Businesses cut back on spending, creating a recessionary ripple effect Business pass on higher costs to consumers, creating an inflationary ripple effect But when...

Read the full post at http://www.themortgagereports.com

Read More...

[Source: The Mortgage Reports Blog]

Bankrate.com Mortgage Trend Index (May 22, 2008)

I am a regular participant in the Bankrate.com Mortgage Rate Trend survey and this week's survey is now available. As a reminder: The survey is for conforming loans only. Asking "Where are rates headed?" is not mortgage strategy -- it's...

Read the full post at http://www.themortgagereports.com

Read More...

[Source: The Mortgage Reports Blog]

Excel Formulas : How To Calculate Your Mortgage Payment

"Can you run payments for me?" It's one of the most common questions that my home-buying clients ask me. They find a home in, say, Montgomery and want to know what their monthly mortgage payment look like. Some loan officers...

Read the full post at http://www.themortgagereports.com

Read More...

[Source: The Mortgage Reports Blog]

Proof: Mortgage Rates Are "Expiring" Within Hours

Since the Fed made its emergency rate cut in January 2008, we've talked a lot of mortgage rate volatility. Some days up, some days down, most days all over the place. This pie chart should help put it in perspective.

Read the full post at http://www.themortgagereports.com

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[Source: The Mortgage Reports Blog]

The Misleading Nature Of Consumer Confidence Surveys

This photo was taken last week immediately after my first $60 tank of gas. I mumbled under my breath for a few minutes, then called my wife. I wasn't angry, mind you. Just mindful of the fact that I spent...

Read the full post at http://www.themortgagereports.com

Read More...

[Source: The Mortgage Reports Blog]