Purchasing your first home is hardly simple for anyone, but exploring and learning the whole process can be particularly very challenging for young and single home buyers, who only have their sole income to rely on to pay all the expenses.
Single Homebuyer: You Can Be Young, Free, And A Homeowner
Buy a home on your own when you’re a widow or widower, or are divorced or separated, and nobody raises an eyebrow. But choose to be a single homebuyer when you’re young and unencumbered, and you’re an object of curiosity. Not in a bad way, you understand. It’s just your friends are likely to see you differently — as if you’d announced you don’t own a smart phone. Others will admire and… Read more at The Mortgage Reports
Fewer young singles are purchasing homes, thanks to compressed finances and tougher lending standards. Before you go ahead and take the plunge in buying a home, be smart and consider whether you’ll be able to handle the bills and expenses on your own.
Becoming a Homeowner At a Young Age
Is it possible to own a home right out of college? Well, it depends on your situation. It is true that a single young person will have a much harder time owning a home than a young couple with two incomes, but do not be discouraged by that. Homeownership is the American dream, and I think that everyone should be working towards owning a piece of property, or mayb even two, three, or ten pieces of property. The fact is that real estate is a… Read more at Money Crashers
The first mortgage default report is out for the year, and so far, rates have only increased slightly. The report comes off the heels of a low default rate environment in 2016, which is likely to be tested in 2017 as interest rates start to rise.
Mortgage defaults slightly rise, but no need to be concerned
Consumer credit default rates on mortgages and auto loans remain low and stable. The first mortgage default rate increased to .72 in January, compared to .71 in December, and .86 in January of last year. Similarly, the second mortgage default increased to .48, compared to .41 in December, and… Read more at HousingWire.com
From December of 2016 to January 2017, the index level for first mortgages has increased from 0.71% to only 0.72%. Second mortgages saw a similarly slight increase from 0.41 percent to 0.48 percent. Likewise, mortgage delinquency has shown signs of being stable. Delinquency rate went down by 7.3% last year, but remained unchanged in the last two quarters.
Mortgage Defaults are Holding Steady
In addition to mortgage defaults, the S&P/Experian Consumer Credit Default Indices also covered bank card defaults. As of January, bank cards saw an increase in defaults, up to 3.21 percent, the highest level since July 2013. At the same time, results from the report show that mortgage delinquency has not shown significant change… Read more at DSNews.com
Mortgage rates rise following Trump’s win
Diana Olick reports on how Trump’s presidential win is affecting mortgage rates… Watch here
Private housing starts off decreased at 2.6 percent month-over-month to 1.25 million in January 2017. This is up from December 2016’s revised estimate of 1.28 million. Yearly, this is up 10.5 percent from the January 2016’s 1.13 million.
Housing starts begin year slightly lower
The news comes after last year posted the best year for housing starts since 2007. “For the year as a whole, housing starts of 1.17 million units were the strongest since 2007 as home builders try to keep up with rising demand,” Nationwide Chief Economist David Berson said about the December housing starts report. Meanwhile, single-family housing starts in January came in at a rate of 823,000, which this is… Read more at HousingWire.com
US housing starts off choppy in recent months, but the little increase in building permits is a good sign of what’s in store in 2017. The slight drop in single-family permits isn’t particularly encouraging, but the slight drop indicates a decent number of construction projects are coming up.
Housing Starts Drop in January, Keeping Inventories Tight
The report was generally considered to be underwhelming for a real estate sector that in many parts of the country is short on available homes. With interest rates still low and mortgages relatively affordable, demand for housing in much of the country outstrips the supply of available homes for sale. This has restricted home sales in recent months and has led to price increases that are believed to be… Read more at USNews.com
U.S. home sales drop as supply tumbles to 17-year low January 24, 2017
U.S. home sales drop as supply tumbles to 17-year low January 24, 2017 U.S. home resales fell more than expected in December as the supply of houses on the market dropped to levels last seen in 1999, but the housing market recovery remained intact against the backdrop of a tightening labor market. The National Association of Realtors said on Tuesday existing home sales decreased 2.8 percent to a… Watch more
According to Navy Federal, the 5/5 ARM has a history of growth and stability with the credit union, and now is planning to develop the product and moving forward. It’s focused on big institutional investors backed by Freddie Mac, as the enterprise will pool the loans in mortgage-backed securities.
Navy Federal Credit Union, Freddie Mac target investors with 5/5 ARM
The 5/5 ARM is for lenders that know and understand their borrowers very well and believe in their underlying credit quality. Borrowers gravitate toward this type of ARM because they are less exposed to interest rate swings… Read more at HousingWire.com
Some of the nation’s biggest banks in recent weeks have lowered payment requirements on conventional loans, without private mortgage insurance, to as low as 3%. Some financial institutions are even offering zero-down mortgages. The lending products are geared toward first-time buyers and people with good credit who are struggling saving money.
For home loans, 3 percent down is the new 20 percent
A few financial institutions have brought back zero-down mortgages. Navy Federal Credit Union, which serves members of the military and their families, has offered a zero-down mortgage since 2005. The credit union stopped marketing it for a couple of years during the recession but has been touting it again since 2010. Zero-down mortgages account for 10 to 15 percent of… Read more at IndyStar.com
Death Of A Bank – Cheating on Freddie Mac and Fannie Mae
It seems that the bank was pooling or putting all these PBNBA promissory notes together and selling them to the hidden investors without either of the Investor Club’s knowledge and making tons of money from each promissory note after securitizing and selling these debt and loan pay off promissory notes. The bank was reporting these private banker members’ alleged loans to the… See more
VA Streamline Refinance Loans is a special loan program designed specifically for veterans. VA Streamline Refinance Loans can be issued by any VA-approved lender and are guaranteed by the federal government.
VA Streamline Refinance: About The VA IRRRL Mortgage Program & VA Mortgage Rates
The VA IRRRL is a refinance mortgage loan available to homeowners with existing VA mortgages. The program, which is commonly known as the VA Streamline Refinance, simplifies home refinancing by waiving the documentation typically required by a bank, including income and employment verification, bank account and… Read more at The Mortgage Reports
If you are a military borrower, you are presently getting access to interest low rates compared what’s available to regular U.S. civilians. As a member of the military, your service grants you access to the VA Loan Guarantee Program which is meant to make homeownership mortgage more affordable for military members.
31 Months Straight: Veterans Get The Lowest Mortgage Rates
For mortgage applicants with military backgrounds, it can be downright cheap to get a loan. Current mortgage rates are still low for all loans types — conventional, FHA, VA, USDA and jumbo. But, if you’re a military borrower, you’re currently getting access to interest rates below what’s available to U.S. civilians… Read more at The Mortgage Reports
Minimum Credit Score for VA Loan | VA Loan Requirements
What is the Minimum credit score for VA loan? Eric talks about the importance of credit and what kind of credit score for a VA loan is needed. Score you need to get qualified for a VA loan… Watch it here
If you are shopping for a new home or about to start refinancing, consider yourself alerted. Thirty-year rates are around four percent, and rates for FHA mortgages and VA loans are even much lower. Once the Fed adjourns, rates will be a lot different. The thing is, analysts really don’t know whether rates will go up or go down.
How Mortgage Rates Connect To The Fed Funds Rate
It’s a common belief that the Federal Reserve “makes” consumer mortgage rates. It doesn’t. The Fed doesn’t make mortgage rates. Mortgage rates are made on Wall Street. The Federal Reserve has no direct connection to U.S. mortgage rates whatsoever. Here’s proof: Over the last two decades, the Fed Funds Rate and the average 30-year fixed rate mortgage rate have differed by as much as 5.25%, and by as little as… Read more at The Mortgage Reports
The quarter-point increase in the federal funds rate by the Federal Reserve Board likely will change some of the terms by which you access credit or borrow money. If you want to know what this means for your bank account, credit card or mortgage loan, below is a detailed breakdown of what may happen.
How the Fed rate hike affects your wallet
The economy, the Fed and inflation all have some influence over long-term fixed mortgage rates, which generally are pegged to yields on U.S. Treasury notes, so there’s already been some creep up from record-low levels since the election and well before the Fed made an official move… Read more at CNBC.com
How a Federal Interest Rate Hike Impacts Mortgage Rates
When the Federal Reserve announces a change in interest rates, it makes headlines. But does the federal interest rate directly impact your mortgage rate? See what Windermere’s Chief Economist, Matthew Gardner has to say… Watch it here
The start of this year’s single-family housing were above their 2016 average in December, although they fell 4% from an unusually strong November. As compared to last year, construction began on 4% more homes, on a seasonally-adjusted, annualized basis, to 795,000 units nationwide. This marks one of the highest surveys of the year.
Report: Single-Family Housing Starts End 2016 On A High Note
It seems the biggest concern for builders at the moment is finding buildable lots, and hiring workers to construct homes. If home builders could build more, they would. Production is not meeting demand. That could mean higher prices in 2017, plus fewer free upgrades from builders, and more competition from other buyers. The best deals in real estate could be the ones available right now… Read more at The Mortgage Reports
Single Family Housing Starts Surges
The Commerce Department said, groundbreaking on single-family housing projects, which accounts for the largest share of the residential housing market, jumped 8.1 percent to a 783,000-unit pace last month. That was the highest level since February. A tightening labor market, which is steadily pushing wages higher, as well as low mortgage rates are underpinning demand for housing. Single-family starts are also getting a boost from a chronic shortage of previously owned homes available for sale… Watch here
During Obama’s presidential term, exercising his clemency authority is one of his top priorities. He has grant clemency to significantly more people than any other president had. In his recent clemency sweep, he granted 153 commutations and 78 pardons. It is the highest number of clemency grants done in a single day by any US president in history.
Obama includes handful of bank fraud pardons in major clemency sweep
This brings Obama’s total commutations to 1,176 individuals and the total number of pardons to 148 individuals. “Today’s acts of clemency — and the mercy the President has shown his 1,324 clemency recipients — exemplify his belief that America is a nation of second chances,” the White House stated in a press release… Read more at HousingWire.com
Unfortunately for real estate investors, mortgage fraud is a national epidemic that is a direct peril to the real estate industry and housing market. Trends doesn’t matter, strategic programs will be used to manipulate the system due to the unstable real estate market conditions and government programs.
Reverse Occupancy Fraud Threatens Housing Market
Subject properties sold as investments, first-time homebuyers with no or minimal credit, low-income purchasers with liquid asserts verified by bank statements, and purchasers who make large down payments are warning signs that are usually attributed to reverse occupancy schemes. The report examined investment purchase mortgage applications over the last five years and… Read more at DSNews.com
The number of homes in the market with negative equity fell to 10.9% of total homes in the third quarter of 2016, down from last year’s 13.4% and from 12.1% in the second quarter of 2016. Negative equity continues to go down as home valuation goes up.
Equity gap between top and bottom of housing market starts to narrow
The U.S. negative equity rate is the share of all homeowners with a mortgage that is underwater, owing more on their home than it is worth. When home values fall, as they did dramatically between mid-2007 and late 2011, negative equity rises. When home values rise, negative equity recedes. Home values at the low end of the market are rising much faster than those at the… Read more at HousingWire.com
A lot of governments as well as some private developers and non-profits offers options to give a helping hand to struggling first-time home buyers who’s about to get into the housing market. Below are some programs that can really help.
Finding help in this crazy housing market
the dream of owning a home while earning a modest income just keeps getting harder and harder to achieve. But various governments as well as some non-profits and some private developers offer options to help struggling first-time home buyers get into the market… Read more at MoneySense.ca
30-year rates are hovering near 4%, VA loans and FHA mortgages are also going down. You need to be very aware of this especially if you’re to start refinancing your home or you’re shopping for your first home.
How Mortgage Rates Connect To The Fed Funds Rate
The Federal Reserve’s Federal Open Market Committee (FOMC) adjourns from a scheduled two-day meeting Wednesday afternoon. The meeting’s outcome will influence the mortgage bond market which, in turn, will change current mortgage rates for consumers nationwide. If you’re shopping for a home, then, or about to start a refinance, consider… Read more at The Mortgage Reports
Mortgage rates are going up after Trump’s presidenctial race victory had no adverse impact on home purchases by American citizens, according to mortgage analysis by Zillow Group.
Here’s how a Fed rate hike will impact mortgage payments in 12 major US cities
Still, potential homebuyers, expecting further rate hikes, are increasingly looking to lock in low rates before they go up, while refinance requests have dropped significantly (32% on Zillow) since November. The Fed is meeting this week and is widely expected to raise the benchmark Fed funds rate by 25 basis points to a range between 0.50% and 0.75%. That increase is likely to have an effect on mortgage rates going forward… Read more at Business Insider