Smart Borrower Blog

Archive for November, 2008

Looking At The Mortgage Industry

Nov 28th, 2008 @ 5:47 PM by Alden Smith

If you have been around the mortgage industry for very long, you are aware of Robert Shiller.  Shiller, a well-known economist and professor at Yale University, is predicting that the current financial crisis could go on for a good number of years.  This is probably more reality than we really care to look at. I […]

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Mortgage Interest Rates Fall on New Rescue Plan

Nov 27th, 2008 @ 11:26 AM by Amber Nelson

Interest rates on long-term U.S. home loans fell in the latest week, a reaction to the newly announced Bush administration’s $800 billion bailout package to provide more liquidity for consumer and mortgage debt markets, according to data from Freddie Mac. “Interest rates for 30-year fixed-rate mortgages fell for the fourth consecutive week as signs the […]

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Prime Mortgages Showing Signs Of Trouble

Nov 24th, 2008 @ 5:20 PM by Alden Smith

Although a great deal of the problems facing the mortgage market is focused on subprime, it is noteworthy to see that even prime mortgages are showing the strain.  In 1985, primes facing foreclosures stood at 1.97%.  Now, we are seeing 3.07% of prime mortgages that are either in foreclosure or are at least 60 days […]

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Crisis In The Commercial Mortgage Market

Nov 21st, 2008 @ 5:30 PM by Alden Smith

Following the mortgage market as I have this past 2 years, I see the domino effect of trouble in one market falling over into the next.  Residential mortgages and that market have taken a big ding this past year, with billions lost and foreclosures looming on every horizon.  Experts in the field do not see […]

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Fed, Treasury Answer for Their Bailout Changes

Nov 19th, 2008 @ 10:13 PM by Amber Nelson

U.S. Treasury Secretary Henry Paulson and Federal Reserve Chairman Ben Bernanke faced bitter criticism Wednesday for their actions in the current mortgage foreclosure crisis, during a hearing before the House Financial Service Committee. Paulson, who has headed up the $700 billion bailout program approved last month by Congress, recently announced his plans to use the […]

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Can Loans Be Restructured To Stop Foreclosure?

Nov 17th, 2008 @ 4:50 PM by Alden Smith

Researching for today’s post led me to an editorial that made a lot of sense to me, and one that I hope is brought to fruition.  Basically, some members of Congress are advocating the restructuring of loans so that people who are in danger of foreclosure will be able to make the monthly mortgage payment.  […]

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Freddic Mac To Tap Bailout Funds

Nov 14th, 2008 @ 5:21 PM by Alden Smith

The economy continues to look dismal.  Circuit City, the electronics retailer, has filed for Chapter 11.  Many retail stores are showing huge losses each quarter.  Now we see Freddie Mac dipping into the bailout money for the first time.  And AIG?  Gave out $500 million in bonuses.  I have to admit it – those folks […]

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Treasury Shifts Direction of Bailout Plan to Consumer Credit Markets

Nov 12th, 2008 @ 9:59 PM by Amber Nelson

The U.S. Treasury Department announced dramatic changes to the recently created $700 billion financial bailout package during a news conference Wednesday. Congress passed the bailout bill last month with the understanding that the funds would go towards buying up bad mortgage debt from struggling banks and other lenders. Yet, Treasury Secretary Henry Paulson said that […]

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FDIC & IndyMac Work To Help Distressed Borrowers

Nov 10th, 2008 @ 5:29 PM by Alden Smith

The NBC Nightly News tonight reported on the hopes of the FDIC and IndyMac to be able to step in and modify mortgages for people who are in financial trouble and about to lose their homes.  This is a good move on their part – they will modify the loans by dropping the interest rates, […]

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Mortgage Rates Remain Unstable

Nov 7th, 2008 @ 5:00 PM by Alden Smith

With the election behind us, we will wait with great anticipation to see what happens on January 20th, 2009.  In a press conference today, President-elect Obama reminded us all that this is still not his watch, and until it is, we have to be aware that the current administration will make the shots.  Be ready. […]

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