The Wall Street Journal says the number of borrowers currently underwater on their mortgage (meaning they owe more than the property is worth) has swelled to 23%. Ouch. [More]
mortgages
Slothful Home Loan Modifiers Earn More Money When You're Delinquent
By 11.30.09
With a rising wave of foreclosures looming, the Treasury is stepping up pressure on lenders to finish modifying home loans and to pick up the pace. Potentially exacerbating the problem is that many loans are held by servicers whose fees increase the longer borrowers remain in default. [More]
Sorry, No Mortgage: Experian Says That You're Dead
By 11.21.09
Shortly after surviving the death of her husband and a life-threatening medical crisis, Ann Howe of Seattle decided to refinance her home mortgage. Everything went smoothly until the bank informed her that the refinance couldn’t be completed because the credit bureau Experian was convinced that she was dead.
When To Buy A Home And How To Avoid Screwing It Up
By 11.2.09
Are you hitting that stage in life where you’re thinking of becoming a homeowner? Morningstar has published two home buying articles that together offer some good, concise advice to the prospective buyer, especially if you’re a first-timer.
Need Affordable Housing? What About A Mobile Home?
By 10.28.09
Mobile homes have a less-than-stellar reputation, deservedly or not. I know my own mom always warned me against them by saying they were just tornado bait, which was enough to make me leery of even stepping foot inside a friend’s mobile home growing up. But if you’re not irrationally afraid of tornadoes, a mobile home might be a great housing option if you’re on a tight budget or looking to save money, writes Michigan Telephone.
Homeowner Says Bank Told Him To Skip Payments, Then Foreclosed
By 10.28.09
When MC lost his second job he had trouble affording his $3,000 mortgage payment. He called his mortgage holder, Flag Star Bank, asking for a break, but the bank told him there was nothing it could do for him unless he skipped payments and submitted a loan modification package.
How A Disputed Item On Your Credit Report Can Screw Up Your Home Loan
By 10.26.09
Thanks to federal regulations, when you dispute an account on your credit report and the dispute is resolved in your favor, the credit reporting agency is required to remove or correct the account. Credit reporting agencies often don’t do this, though, and the Washington Post notes that it can come back and interfere with your next home loan application.
Nobody Wants To Buy (Four Fifths Of) Detroit
By 10.26.09
Detroit tried to auction off almost 9,000 homes and lots last week—enough property to fill Central Park—but Reuters says less than 1/5th of what went on the block actually sold. Unfortunately, it sounds like speculators snatched up few decent properties, leaving actual Detroit residents looking for new homes out in the cold.
Is The Federal Housing Administration Going To Need A Bailout?
By 10.8.09
Earlier today a former Fannie Mae exec and the current head of the FHA gave conflicting testimonies to Congress about the health of the mortgage insurer—particularly about whether or not it’s going to require a taxpayer bailout in the next couple of years.
Homeowners With Good Credit Are More Likely To Strategically Default
By 9.25.09
Here’s an interesting discovery about mortgage defaults from the LA Times:
Old Debts Under $100 Don't Matter Under FICO '08
By 9.24.09
An update to how the new FICO ’08 scoring system got revamped this year:
Fed Keeps Interest Rates At .25%
By 9.24.09
Interest rates will stay at at a low low .25%, the Fed announced today. For you this means…
Buying Your First Home? Here Are 7 Good Tips
By 9.18.09
Ron Lieber at the New York Times has put together seven sensible tips that can help you find a first time home that you can both afford and enjoy living in.
"What Do I Do When My Lender Isn't Playing Fair With Loan Modification?"
By 9.4.09
Yesterday, the New York Times wrote about a judge in Arizona who forced Wells Fargo to explain why it keeps stalling and being uncooperative with a customer who has been trying to get a loan modification request approved. Sadly, in the past week we’ve gotten two separate emails from homeowners who are also having trouble with getting banks to approve their requests for the government-sponsored loan modifications. “Who can we contact to complain?” asks one frustrated customer.
Brooklyn Judge Rejects Improperly Documented Foreclosure Motions, Shocks Banking Industry
By 8.31.09
There’s a judge in Brooklyn, NY, who has tossed out nearly half of the foreclosure cases brought before him over the past year, because the lenders have such messy paper trails that they can’t prove ownership anymore.
48% Of Mortgages Underwater By 2011
By 8.13.09
48% of all mortgages could have negative equity, being a debt greater than the underlying house is worth, by 2011, says Deutsche Bank. Someone please tell Brooklyn. After a few weeks of checking out apartments in Gowanus, Park Slope and Red Hook, everyone’s asking prices are still like the good times are just around the corner. [FORTUNE] (Thanks to Michael!) (Photo: kevindooley)
