Home >> News >> LoanBlog >> refinancing

Jump in Mortgage Rates Overshadows Rebound In Application Activity

June 12th, 2008

A sharp jump in mortgage rates was the week’s most significant development.

Read the rest of this entry »

Foreclosure News Dampens Improving Economic Data

June 5th, 2008

Even though stocks have rallied lately on improved economic news, mortgage foreclosures continue to hang like a cloud over the scene.

Read the rest of this entry »

Possible Mortgage Bill Not the Real News for Today’s Borrowers

May 22nd, 2008

A possible Senate compromise on a mortgage relief bill took most of the mortgage headlines this week, but potential borrowers would do well to keep their eyes on the inflation front, where a new surge in oil prices threatened to drive interest rates higher.

Read the rest of this entry »

When You Assume…

May 7th, 2008

If you have an adjustable rate mortgage (ARM) you have probably been bombarded with solicitations and exhortations to “fix it” before rates go sky-high. You are right to be concerned about the future but jumping into the nearest fixed rate mortgage could be a costly move.

Looking at recent ARM rate adjustments tells the story. Rates for many ARM borrowers have decreased lately. Before making any decision about refinancing to nail down a stable rate, get out your loan documents, find the Adjustable Rate Mortgage Rider, and look up the terms of your ARM. Locate the index that your rate is tied to (for example, the LIBOR, COFI, or T-Bill). The index is a published financial indicator and you should be able to look up its value easily online. This week’s 6-month LIBOR, for example, is 2.88%. Next, find the margin that your lender adds to the index to get your interest rate. If your loan is based on the 6-month LIBOR and carries a margin of 2.5%, your rate would be 5.38% if adjusting today.

OK, but what if a lender calls you up and says you can get a fixed loan at 6% right now? Should you go for it?

Read the rest of this entry »

Can’t Make Mortgage Payments? Beware the Scammers

March 24th, 2008

It’s great that community services agencies, the government, and some lenders are working with homeowners who are having problems making their mortgage payments, or refinancing mortgages they can’t afford. Unfortunately, the scam artists are out to make a from borrowers facing foreclosure.

Foreclosure proceedings are a matter of public record. Scammers can get your name and property address from these records. Yes, folks, there are people who will send offers of quick help, no money required “solutions,” and they may also offer to pay you to stay in your home. These kinds of schemes can result in losing your home, your money, and your credit rating. Don’t get involved in any deal that seems too good to be true; it probably is!