easyclickhomes.com

Ok, so this isn’t the greatest of topics ever discussed, especially in a failing market where people don’t have money to begin with. But it is ever so important to discuss for those of you that can actually afford to purchase a home in this 21st century. Paying down points, what an interesting thought to consider. Why would this benefit you? You ask. Well, I would assume that most people don’t live in their first home the average length of 6+ years. But when you do get ready to settle down, have kids, and live in a home you will be at for many years, paying down points on a mortgage is not a bad idea. Continue Reading »

Via USA Today

 Coicides nicely with an article we published a while back on how we got into this mess we’re in.  Visit USA Today for explanations as to what the dots represent on the chart.

With all the troubles surrounding subprime mortgages these days and multi billion dollar losses being declared by mortgage loan originators, some are starting to change the way they do business.  If you have a subprime loan, it means that your lender took a bigger risk on lending you money than she did lending to a customer with a fixed rate mortgage.   This risk means the risk of you not being able to pay back the loan due to job loss, poor planning, etc. 

Continue Reading »

The US House of Representatives passed a bill onto the senate to regulate mortgage lenders.  According to the AP article on the legislation the bill, if passed thorugh the senate, would:

• Ban lenders from making loans that borrowers don’t have the ability to repay;
• Prohibit lenders from steering homeowners into refinanced mortgages that don’t provide any benefit and create fines of triple the broker fee and costs;
• Make Wall Street banks that package mortgage securities into investments liable for violations of lending laws;
• Prohibit excessive fees for payoff information or late payments, the financing of points and fees and practices that increase the risk of foreclosure like balloon payments and encouraging borrowers to default; and
• Create a nationwide licensing system for mortgage brokers and bank loan officers called the Nationwide Mortgage Licensing System and Registry.

Housing prices across the nation are slipping, making some savvy investors seem not so savvy and some fortunate families a lot less fortunate. What has caused this period of bliss followed by the current downturn in the housing market? When will the downturn end?

Continue Reading »

According to Realtytrac, a huge online marketer of foreclosed homes, 77 out of the nations 100 largest metropolitan areas have seen an increase in foreclosed homes over the past 3 months as compared to the previous 3. The states taking the brunt of the damage were Ohio, Florida, and California.

One of the key factors to the high levels of foreclosed homes is the fact that there are over 7.2 million homes with subprime lending, of which 14% are considered in default, this according to the Center for Responsible Lending. Their prediction is that one of every five loans awarded in 2005 and 2006 will end up in foreclosure. That is a hugely dissatisfying number. Continue Reading »

Among other things, a mortgage needs careful consideration when looking to purchase a new or used home.  What things should you consider?  The best loan rate, the lowest monthly payment, and the duration of the loan are a good place to start. Many of us base our opinions on the amount of the monthly payment, but before you jump on the mortgage with the lowest monthly payment, you may want to take a minute to look into a 15 year mortgage. 

At first glance you may think that you can’t afford the payments on the 15 year mortgage, but notice how a 30 year loan does not cut the payment in half.  This is an important point to take into consideration.  Why isn’t the payment on a 30 year loan half of the payment on a 15 year loan?  The answer: interest.  

Continue Reading »