Top down payment assistant options for your new home [Real Estate Insider]

Aug 19, 2020 10:34:43 AM / by Mark Gorman posted in Mortgage, Home Loan, financing contigency, financing, mortgage payments, buying a home, homebuying, loan

0 Comments

If you're a first-time homebuyer or simply worry about being able to afford a down payment on a home, you're not alone. Reaching the suggested 20% down payment mark can be a tall task, and seem like an insurmountable obstacle to some. If you live in the St. Louis or St. Charles area, you no longer have to worry about finding enough money in your budget to put down a healthy down payment for a house you're interested in buying.

Read More

What the Federal Reserve's COVID response means for home buyers

Apr 30, 2020 8:51:13 PM / by Brett O'Daniell posted in Mortgage, Home Loan, housing market, mortgage payments

0 Comments



Zero percent rates? Did you hear that right? You did, but they’re federal fund rates, not mortgage rates. 

On March 15, the Federal Reserve lowered the target range for the federal funds rate to 0 to ¼ percent, in an attempt to combat the current toll the coronavirus outbreak is having on the economy. The Federal Reserve explained, “This action will help support economic activity, strong labor market conditions, and inflation returning to the Committee’s symmetric 2 percent objective.” 

Zero percent mortgage rates, on the other hand, are indeed too good to be true—they don’t exist. Federal fund rates apply to overnight loans between U.S. financial institutions, not individual borrowers. 

Mortgage rates are dependent upon bonds which are traded thousands of times per day, and mortgage lenders typically update rates daily, while the Fed meets eight times per year (plus in the event of an emergency, such as the COVID-19 crisis) to discuss potential rate changes.

Despite mortgage rates not being completely slashed, as some misunderstood, they were still historically low, causing mass amounts of refinance applications to come through lenders’ doors. Those massive number of mortgages needed to be sold to investors in order for lenders to continue functioning, which in some instances overwhelmed investors, causing prices to fall and consumer rates to rise. Some lenders actually raised rates slightly as a means to slow down business.  

 

A recovery plan in the works

The Federal Reserve then announced it would buy unlimited amounts of treasuries and agency mortgages in order to help the credit markets. “While great uncertainty remains, it has become clear that our economy will face severe disruptions. Aggressive efforts must be taken across the public and private sectors to limit the losses to jobs and incomes and to promote a swift recovery once the disruptions abate,” the Federal Reserve explained, stating they’ll continue to purchase treasury securities and agency mortgage-backed securities. 

 

Where do mortgage rates stand? 

In early March, mortgage rates hit all-time lows, with the 30-year-fixed rate at 3.29 percent—the lowest average on record since Freddie Mac began tracking data in 1971—and have remained relatively low. While buyers strive to take advantage of these rates, competition will continue to increase, with inventory tightening and home prices rising. What can you do to help yourself stand out? 

A pre-approval* is a great place to start. In a matter of minutes, you can elevate yourself from the competition. Many of our lender partner's pre-approvals can be completed in 15 minutes or less.  You can also count on our lender partners to help you understand the ever-evolving market throughout this unprecedented and uncertain time. 

 

*“Pre-approval” means an automated underwriting system approval based upon credit information supplied by applicant and subject to the lender’s review of loan documents. Applicant subject to credit and underwriting approval. Not all applicants will be approved for financing. Receipt of application does not represent an approval for financing or interest rate guarantee. Restrictions may apply, contact lenders for current rates and for more information.

 

Sources: 

Federal Reserve

Mortgage News Daily

Mortgage News Daily

Housing Wire

Federal Reserve

Read More

Tax Benefits of Buying a Home [Real Estate Insider]

Apr 28, 2020 2:29:10 PM / by Brett O'Daniell posted in home purchase, property taxes, home ownership, credit profile, mortgage payments, before you buy, buying a home

0 Comments

 

Read More

How to be a Professional Home-Owner

Feb 12, 2020 12:12:57 PM / by Brett O'Daniell posted in Mortgage, foreclosure, payments, mortgage payments, maintenance, emergency funds

0 Comments

It's right around the corner; The paperwork is done, the insurance is paid, you are moved into your new home. The power is turned on and the movers just set down the last piece of furniture. Finally, you have time to rest right?

You're almost there!

By following the expert's check-list provided by HomeTraq, you can guarantee that you manage your new home or property like a professional!

 

 

Mortgage Payment

Read More

Real Estate Insider - Credit, Credit Resources and Credit Counselors

Feb 5, 2020 11:28:31 AM / by Mark Gorman posted in homebuyers, Credit, Credit Score, financing, capital, mortgage payments, homebuying, boosting credit, credit bureaus

0 Comments

There are three major credit reporting agencies.

Read More

4 reasons why buying a home with cash may be a mistake...

Oct 8, 2019 4:49:14 PM / by Mark Gorman posted in Mortgage, Pre-Approval, Pre-Qual, Lending, Home Loan, Pre-Qualification, Approval, professional, home purchase, financing contigency, FHA, closing costs, homebuyers, home ownership, PITIA, financing, capital, payments, mortgage payments, emergency funds, boosting credit, income, asset, myths, credit bureaus

0 Comments

There’s a common misconception out there that buying a home with cash is always a faster and easier option than financing. If you have the funds to buy a home in cash (congrats on that saving, by the way), financing might actually be a better option. Financing your purchase with a qualified lender offers homebuyers a host of unique advantages that cash buyers just can’t enjoy. If you’re weighing your cash vs. financing options, consider the following:

Read More

Cellphone & utility payments can now "boost" your credit score

Jul 12, 2019 8:32:00 PM / by Mark Gorman posted in Mortgage, Credit, Credit Score, home ownership, credit profile, payments, mortgage payments, boosting credit, credit bureaus, experian, cell phone, utilities, bills

0 Comments

 

Read More

Get Email Updates

Lists by Topic

see all

Posts by Topic

See all

Recent Posts