The day after Thanksgiving is a busy shopping day nationwide and, this year, analysts are paying extra attention to sales figures.
Dubbed “Black Friday” in reference to red ink representing loss and black ink representing gain, today’s start to the Holiday Shopping season is believed to be the day that retailer balance sheets finally cross over [...]
Like everything else on Wall Street, mortgage markets are based on supply and demand. When demand outweighs supply, mortgage rates fall.
So, Tuesday, when the government unexpectedly announced a $500 billion budget for buying mortgage debt from Fannie Mae and Freddie Mac, the demand side of the mortgage market ballooned.
The surprise demand helped [...]
In real estate, the term existing home refers to a “used” property; one that can’t be classified as new construction.
The number of existing homes sold each month is tracked by the National Association of REALTORS. The report is often used as a gauge for the health of the real estate market nationwide.
In October, nearly [...]
As the stock market retraced to its 1997 level, mortgage markets improved last week — but not by much.
Mortgage rates closed out the week slightly lower, but the week wasn’t without fireworks.
Calls of deflation grew louder
The automakers left Washington without a bailout
Citigroup’s stock price fell to the equivalent of its ATM fee
Separately, each [...]
Business television and newspapers have made deflation a hot topic this week and, since Monday, Google has tracked 13,000 mentions of it.
Deflation is a recurring cycle in which the prices of goods and services fall. Isolated to one industry or sector, falling prices is the natural result of competition.
For example, when DVD players [...]
When it comes to housing data, there are always two questions to consider:
How does this impact buyers?
How does this impact sellers?
This is why housing data is rarely positive or negative on a universal level — one group of Americans is going to see benefit.
Today, it’s home sellers.
From the government, we learn [...]
If the presence of inflation causes mortgage rates to rise, then the absence of inflation should cause mortgage rates to fall. And, in most markets that’s true.
Today, it’s not.
Despite a deep, month-over-month dip in consumer prices not seen since 1947, mortgage rates are inching higher this morning.
The main reason why rates are rising today [...]
In March 2008, HUD temporarily raised FHA loan limits around the country. Effective January 1, 2009, FHA loan limits revert.
FHA home loans are mortgages made by private lenders and insured by the federal government.
Historically, FHA home loans have been “easier” for which to qualify than their conforming mortgage counterparts and, therefore, tend [...]
In another week of up-and-down trading, mortgage rates ended the week slightly higher last week.
Ping-pong action like this has defined mortgage markets lately. It’s increasingly common for rates to soar one day, and then come crashing down the next.
In response to market volatility, mortgage lenders issued as many as 8 distinct [...]
To help demystify the mortgage process, the federal government is giving the much-maligned Good Faith Estimate document a makeover. Effective January 1, 2010, the current, 2-page form will be replaced by a new, easier-to-understand version, spanning 3 pages.
The biggest strength of the new Good Faith Estimate is that it uses everyday English to [...]