Are you upside down on your house? (Upside down means you owe more to the bank thatn the house is now worth.) Well, I have heard from two people now who have had their banks contact them and ask them if they want to refinance to a lower rate. Not only that, but for those who qualify they will be able to get a reduction in the amount of their loan too! YES! It's true. Part of the stimulus package that Obama has created allows banks for those of us who have not defaulted on our loans but are upside down. They are allowing a forgiveness of 20-25% for those who fit their criteria too! People to have to get PMI insurance but who cares! My friend paid a tad over $620,000 for her home and owed about $550,000 at 8.5% on it when the market tanked. Now she had it reduced to 5% and $430,000!!! Not bad eh?!
If you don't understand something in this post let me know and I will do my best to send you an explanation. Just remember there is hope!
Mariaaaaaaaaaaaa
:)
Sunday, March 29, 2009
Thursday, March 19, 2009
Signs of Spring...
Finally, some hopeful signs for the spring market
Last week the stock market began to rally. It’s anyone’s guess how long this spring thaw on Wall Street will last, but we have to take the good news as it comes. It's like the little green shoots that s-l-o-w-l-y start ripping through the winter's debris. Any good news at this point on the economy is bound to provide a boost of some sort to the battered housing market.
And the stock market is not the only thing to watch! There are other signs as well. Residential construction, after falling for countless months, rebounded by a surprising 22 percent in February. Apartment construction led the way – not surprising since the falloff in demand for new condos and homes has created renewed interest in lending.
Other signs are that residential sales have also slowed in their decline.
The latest nudge to the economy is the Fed’s equally surprising move to infuse an addition $1 trillion into its campaign to warm up still stagnant lending markets. The Fed will buy an additional $750 million in government-guaranteed mortgage back securities and another $300 billion in longer-term Treasury securities.
All this should further lower interest rates on all loans, including mortgages, the NY Times reports in its story on the Fed’s move.
For those of you who are looking to buy, the water is getting warmer...seems that a lot of your fellow buyers have stuck in their toes and are now jumping in!
Mariaaaaaaaaa
:)
Last week the stock market began to rally. It’s anyone’s guess how long this spring thaw on Wall Street will last, but we have to take the good news as it comes. It's like the little green shoots that s-l-o-w-l-y start ripping through the winter's debris. Any good news at this point on the economy is bound to provide a boost of some sort to the battered housing market.
And the stock market is not the only thing to watch! There are other signs as well. Residential construction, after falling for countless months, rebounded by a surprising 22 percent in February. Apartment construction led the way – not surprising since the falloff in demand for new condos and homes has created renewed interest in lending.
Other signs are that residential sales have also slowed in their decline.
The latest nudge to the economy is the Fed’s equally surprising move to infuse an addition $1 trillion into its campaign to warm up still stagnant lending markets. The Fed will buy an additional $750 million in government-guaranteed mortgage back securities and another $300 billion in longer-term Treasury securities.
All this should further lower interest rates on all loans, including mortgages, the NY Times reports in its story on the Fed’s move.
For those of you who are looking to buy, the water is getting warmer...seems that a lot of your fellow buyers have stuck in their toes and are now jumping in!
Mariaaaaaaaaa
:)
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