Loans

Got a low FICO score?

by Cory Maguire on January 19, 2011

Wells Fargo Home Mortgage Announces New Programs

Minimum Loan Scores for FHA Purchase Transactions
As of Jan. 15

1. Loan score lower than 500 = Not allowed
2. Loan Score 500 – 579 allowed with maximum 90% Loan To Value and additional requirements
3. Loan Score 580 – 599 allowed with maximum 95% Loan To Value and Additional requirements
4. Loan Score 600 and higher allowed with maximum 96.5% Loan To Value

Before entering into an FHA Purchase Transaction, all loans with FICO scores below 600 must be submitted to underwriting for an approved exception.

Mortgage Rates Still Falling in January

by Cory Maguire on January 18, 2011

Rates for fixed and adjustable loans are even better than last year at this time, according to the Realty Times.

30-year fixed-rate mortgage (FRM) averaged 4.71 percent with an average 0.8 point for the week ending January 13, 2011, down from last week when it averaged 4.77 percent. Last year at this time, the 30-year FRM averaged 5.06 percent.

Read the full article here.

HAMP Program Has Less Impact Than Hoped

January 18, 2011

The Treasury Department’s Home Affordable Modification Program, intended to reduce the mortgage payments of homeowners nearing foreclosure, has not been as effective as many had hoped. According to Housing Wire, lenders started 43,739 new, three-month HAMP trials in the third quarter, down 84% from the peak of 272,709 a year ago. Permanent modifications are down, [...]

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Have Mortgage Rates Hit Bottom?

January 18, 2011

According to the New York Times, mortgage rates were lower in 2010 than in the previous six decades—but that may end in 2011. From the article: The Mortgage Bankers’ Association, a trade group, predicts that 30-year fixed rates will inch up to 5.1 percent by the end of 2011 and reach 5.7 percent in 2012. [...]

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Banks Push the Fed to Restrict Borrower’s Rights

January 3, 2011

According to Bloomberg News, mortgage firms are pressing the Federal Reserve to curb homeowners’ right to invalidate loans based on flawed documents — a right consumer groups say is one of the few weapons borrowers have to battle unfair lending. Read the full article here.

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A Little Loan Humor

December 16, 2010

This has been circulating on the internet, and I offer it here for a little lighthearted humor about what has been a very difficult loan market for all of us in 2010. Part of rebuilding New Orleans caused residents often to be challenged with the task of tracing home titles back potentially hundreds of years. [...]

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Rates Likely to Remain Under 5% in 2011

December 16, 2010

The Chief Economist for Freddie Mac said recently that interest rates on 30-year fixed loans are likely to stay below 5% throughout 2011. Adjustable loans may have initial rates under 4% for the year, as well. Read more here: Freddie Mac Predicts Rates Will Stay Below 5% in 2011

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