Elderly Americans Last Refinance – Reverse Mortgages
Reverse Mortgages – More Easy Lending As originally conceived, reverse mortgages were designed to fulfill a legitimate borrowing need. Reverse mortgages were developed for elderly Americans who had a mortgage free home with substantial equity and wanted [...]
TARP 2 – Will Bad Loans Wipe Out Newly Raised Bank Capital?
Are The Banks Paying Back TARP Money Too Soon? Since the beginning of the year, major banks have raised over $200 billion in capital, far in excess of the $75 billion of new capital that the government [...]
Banks Loss Reserves Can’t Keep Pace With Troubled Loans
The latest FDIC Quarterly Banking Profile reveals that banks increased loan loss reserves by 11.5% and the ratio of reserves to total loans increased to 2.5%, an all time high. Despite the large loan loss reserves, the [...]
Mortgage Rates Skyrocket As Fed’s Rate Manipulation Fails
Markets Will Ultimately Determine Long Term Interest Rates Treasuries continued their sell off today as the yield on the 10 year benchmark bond climbed to 3.72%, a stunning increase from the recent lows just over 2% in [...]
Mortgage Mod And Foreclosure Scams: Saying Goodbye To The Mortgage May Be Better
FDIC Advice Good But Too Late The FDIC Consumer News is warning homeowners to avoid falling prey to loan modification and foreclosure rescue scams. Many financially distressed homeowners are preyed upon by firms that “guarantee” financial salvation, [...]
FHA’s New Mortgage Program – Free Home Plus Trip To Vegas
100% Plus Financing Available The American Recovery and Reinvestment Act of 2009, passed early this year, provides up to an $8,000 tax credit for first time home buyers. The tax credit refund would be given to the [...]
Sanity Returns to Mortgage Lending – After Trillions In Losses
Liar Loans To Become Illegal New legislation passed by the House will outlaw “stated income” mortgage loans (commonly called liar loans). WASHINGTON — The House voted Thursday to outlaw “liar loans,” ballooning mortgage payments and other bank [...]
Why Does The FHA Approve Loans That Borrowers Can’t Afford?
FHA Delinquency Rate Raises Questions The latest delinquency rates reported by the FHA are troubling and raise serious questions about the qualification process for approving FHA borrowers. The latest FHA numbers focus on the number of [...]
Some Banks Are Not Amused With 3.875% TARP Mortgages
TARP Dollars Deployed It was previously discussed how two banks in Washington State are deploying their TARP funds to provide low rate financing for new home buyers. The program was limited in time and funding allocation as [...]
