Archive for September, 2009

The $8000 first time home buyers tax credit extension is still being mulled over in Congress but as of now it is still set to expire on November 30th, 2009.? That means that anyone planning on buying a home is going to be too late if they start the home buying process today.? It would be very difficult to close on a home by November 30th with the time frame available.? Zillow.com has stated that an extension of the first time home buyers tax credit could grow sales by 20%.

Benjamie Cardin, a Maryland Democrat, has introduced a bill, H.R. 1678, to extend the tax credit six months.? He states, “??As we are fighting to get our economy back on track, we cannot afford to let lapse an important tool that has had had a positive effect on the housing market. Thanks to this tax credit, hundreds of thousands of Americans have confidently jumped into the housing market for the first time, with $8,000 from the federal government in their family checkbook.?

Make sure to check back in to Subprime Blogger to get your up to the minute news on the first time home buyers tax credit extension.? We will be sure to stay on top of the issue and as soon as there is news on the topic we will update it in our current news section.? As always,?please make sure to return to Subprime Blogger for all your mortgage and financial news. To stay up to date on the current state of finances make sure to bookmark the current news category below. We offer information on everything from getting a lower mortgage rate to increasing your credit score.

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Author: Jesse Wojdylo

The Government mortgage refinance plan Making Home Affordable was created to help you save money with a lower mortgage interest rate.? Over the last year, mortgage rates have dropped over a full percentage point and most home owners could greatly benefit from having a low mortgage rate on their home loan.? Even though credit scores have dropped over the last year, many home owners still have had the opportunity to refinance at lower rates.

If your credit score has dropped and you feel like you cannot get a low mortgage rate you could be wrong.? Many lenders out there have been offered incentives to finance home loans.? Do not get me wrong, if you have a credit score of 600 you will not be getting a 5% mortgage.? Lenders have tightened their lending practices but the incentives that president Obama is offering these companies makes it a little easier for you to get a reasonable mortgage rate.

The Making Home Affordable website is a very good resource to use and I would encourage everyone to check it out even if you are not in the market for a new home or a home refinance.? There are some very interesting statistics and information on how the government is trying to help every home owner to lower their monthly mortgage payment.

Make sure to take advantage of this time and use your resources wisely.? If you have been thinking about refinancing or buying a new home now might be one of the best times in history.? By lowering your mortgage payment each month you could be saving month that goes towards other debts that have been holding you back.

President Obama and his staff want you to refinance at a lower mortgage interest rate so you can spend money in other ways and stimulate the economy.? It is your responsibility to get out there and contact some lenders to see what mortgage rate you qualify for.? This opportunity may not last so please do not let it pass you by.?

Please make sure to return to Subprime Blogger for all your mortgage and financial news. To stay up to date on the current state of finances make sure to bookmark the current news category below. We offer information on everything from getting a lower mortgage rate to increasing your credit score.

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Author: Tiffany Mann

Mortgage assistance is something that many home owners are currently seeking.? Getting a lower mortgage rate could definitely help you to save money and make ends meet financially.? President Obama has worked very hard with this staff to do what it takes to lower mortgage interest rates and help home owners to stay in there homes.? There is only so much that the president can do though; you must get out there and actually take advantage of these low mortgage rates.

There are many mortgage lenders that are advertising mortgage rates well below 5%.? It is your responsibility to contact these lenders and see what rates you qualify for.? If you never contact the lenders and just assume that you can’t get a low mortgage rate then you in fact cannot get a low mortgage rate because you are not even putting forth the effort.? By just making a few phone calls you may find that you can get a much better rate than expected.

Part of President Obama’s home loan modification plan is to help home owners refinance at a lower mortgage rate so their payments decrease.? By having lower monthly mortgage payments you will find that you have more money to spend on other bills and it will make your life much easier.? If you have been considering a home refinance now might be as good of a time as ever to do it.

The Making Home Affordable website is a great resource to use.? There is a great amount of useful information on the website on how to refinance or go through the home loan modification process.? If you do not understand the financial jargon then you can contact a HUD representative for free.? The representative could be quite busy so please be prepared to wait for their assistance.

Overall now is one of the best times to lower your mortgage rate.? President Obama has worked very hard to assist you in lowering your monthly mortgage payments.? It is your responsibility to get out there and actually contact some lenders to see what deals and incentives you can get.? You will never know what rate you can get until you actually apply!

Please make sure to return to Subprime Blogger for all your mortgage and financial news. To stay up to date on the current state of finances make sure to bookmark the current news category below. We offer information on everything from getting a lower mortgage rate to increasing your credit score.

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Author: Heather Best

Mortgage rates have defied all logic by heading lower even after the Federal Reserve Bank announced that they are no long going to buy US Treasuries after October.? Early this morning 30 year mortgage rates got as low as 4.84% which is a September and summer low.? There has been a slight move higher since then but it still begs the question, “Will mortgage rates set an all time low in the month of October?”

If an all time low is possible it will have to happen in the month of October because after Halloween the Federal Reserve Bank will stop buying US Treasuries by the end of the month.? When the Fed stops buying US Treasuries you can expect to see an increase in treasury yields until they become attractive to foreign investors.? Without the assistance of the Fed and foreign investors there is little doubt that mortgage rates are going to go up as treasury yields increase.

No one knows how much yields will have to increase to be attractive to foreign investors but we can assume that 3.3% on the 10 year yield is not attractive.? If the 10 year yield pushes towards 4% like it did during the summer there is a good chance that we could see 6% mortgage rates coming in the near future.? This is not going to happen while the Fed still has both hands in the pot but it could happen when the Fed stops buying up Treasuries.

With this in mind, if mortgage rates are going to hit all time lows it is going to have to happen in October.? This is not to say that mortgage rates will not stay at low levels but all time lows will be out of the question without the Fed’s assistance buying treasuries.? The Fed is goign to continue to buy mortgage backed securities until March 2010 but after that who knows where mortgage interest rates will go.

Please make sure to return to Subprime Blogger for all your mortgage and financial news. To stay up to date on the current state of finances make sure to bookmark the current news category below. We offer information on everything from getting a lower mortgage rate to increasing your credit score.

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Author: Alan Lake

CIT Group is facing the reality of bankruptcy as shares plunged 93 cents, 45%, to $1.25. Shares got as low as 41 cents for the commercial lender when there was talk of a bailout back in July. The New York based financial institution is one of the largest lenders to small and midsized businesses. CIT is currently preparing an exchange offer that would eliminate up to 40% of its $30 billion in debt.

CIT spent the entire summer trying to avoid bankruptcy due to loan losses and funding costs. Like many lenders, the company has been crushed by the downturn in the credit markets. In the past CIT relied heavily on short term debt to fund its operations but this type of debt has basically disappeared since the credit crisis began.

CIT Group received $2.3 billion in Federal aid last year and another $3 billion in emergency funds from bondholders in July. It seems as if the extra money from bondholders will not be enough as the financial firm is on the brink of collapse. Any new deal with bondholders will likely erase most of the government’s $2.3 billion. The Wall Street Journal reports that if the debt exchange with bondholders falls through CIT Group will likely seek bankruptcy protection. If this occurs, this would be the 5th largest bankruptcy in the history of the United States.

Please make sure to return to Subprime Blogger for all your mortgage and financial news. To stay up to date on the current state of finances make sure to bookmark the current news category below. We offer information on everything from getting a lower mortgage rate to increasing your credit score.

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Author: Mike Garner