Realty World - Success Plans, Inc.

Foreclosures are down

Jeffrey Tung — Tue, 27 Jul 2010 22:41:00 +0000

According to Realty Trac, “A total of 340,740 California properties received a foreclosure filing in the first half of 2010, the nation’s highest total but down 15 percent from the previous six months and down nearly 13 percent from the first six months of 2009.”
It is encouraging to know that the foreclosures are on a decline, however is the real estate market going to survive the next wave of REOs? I think it will as long as the interest rates stay at today’s levels, unemployment declines, and the demand for housing remains strong.
The San Francisco market is a great example. Although the hardest hit areas in San Francisco, are in the lower and medium priced homes, the home sales have increased and spurred on the sales of the more expensive areas of the city. It is expected to continue for the rest of the 2010.

Does it sound like it is too good to be true?

Jeffrey Tung — Thu, 22 Jul 2010 00:26:00 +0000

Beware!! There are predators out there and they will take advantage of people in time of need. It is unfortunate, but be aware. When looking for help, just be careful when you make a commitment. There are scams out there.
Related articles by Zemanta

Advance-Fee Loan Scams brighthub.com)
15 Scams and Ripoffs Executed Through TV Ads rawjustice.com)
Scammers Are Out There and They Want Your Money consumereducation.suite101.com)
If it sounds too good to be true, it probably is realself.com)

What do you think the market is heading?

Jeffrey Tung — Fri, 16 Jul 2010 21:23:00 +0000

I believe San Francisco and San Mateo counties’ prices have stabilized in most areas and may stay at this level until something happens with the projected increase of interest rates and foreclosures, defaulting homeowners and unemployment. Based on a study by Homegain, it is not surprising to see that homeowners and agents have different views about the market place.
Related articles by Zemanta

Firm: California sees decline in mortgage defaults seattletimes.nwsource.com)
Riskiest Cities For Homeowners pinkbananaworld.com)
‘The Job Market Is Even Worse Than Many of Us Thought’ abovethelaw.com)
Homes lost to foreclosure on track for 1M in 2010 thenewstribune.com)
Foreclosure activity down in first quarter sfgate.com)
Homes Lost to Foreclosure Could Top 1 Million in 2010 foxnews.com)

Did you know FHA loans are assumable?

Jeffrey Tung — Wed, 07 Jul 2010 02:45:00 +0000

FHA loans have been around for a long time, however, it is more popular these days then ever before. Borrowers can qualify for a loan with as little as 3.5% of the sales price. Here are some things to know about these types of loans. With the way the economy is today, these programs can help you.
Related articles by Zemanta

The Seven Things All Borrowers Should Know About FHA Loans prweb.com)
Partners Eligible for FHA Financing pinkbananaworld.com)
Mortgages: Changes in Mobile-Home Lending nytimes.com)
Requirements Mortgage Loan themortgagepot.com)
FHA Streamline Refinance Guidelines 2010 fhaloanadvice.com)
Average Homeowner In Obama Foreclosure Program Deeply Underwater, Drawing Calls From GOP To Cut Off Help huffingtonpost.com)

Interest rates hit historic lows — Where to from here?

Jonathan Lee — Fri, 02 Jul 2010 16:53:00 +0000

Rates have been relatively low over the last month. This week, they are in the news by falling to a new all time historical low.
The 30 year rate fell from 4.75 to 4.69 this week. Two weeks ago the 30 year rate was sitting at 4.72. What’s interesting is that over the last month, when a lot of people have been talking about how rates are about to start rising, we are instead breaking records with mortgage rate lows.
We mostly concentrate on the 30 year rate because it is the most widely used mortgage product. But in addition to the 30 year rate hitting an all time low the 3 other major mortgage products all reached new all time lows as well. The 15 year dropped from 4.20 to 4.13. The 5 and 1 year arms dropped from 3.89 to 3.84 (5 year arm) and 3.82 to 3.77 (1 year arm). Below are rates from the weeks from May 27, 2010 to Jun 24, 2010
Jun 24, 2010
30-fixed 4.69 15-fixed 4.13 5 ARM 3.84 1 ARM 3.77
Jun 17, 2010
30-fixed 4.75 15-fixed 4.20 5 ARM 3.89 1 ARM 3.82
Jun 10, 2010
30-fixed 4.72 15-fixed 4.17 5 ARM 3.92 1 ARM 3.91
Jun 03, 2010
30-fixed 4.79 15-fixed 4.20 5 ARM 3.94 1 ARM 3.95
May 13, 2010
30-fixed 4.93 15-fixed 4.30 5 ARM 3.95 1 ARM 4.02
So in addition to looking at mortgage rates it’s also helpful to look at mortgage payments. We took today’s rates and translated them into a mortgage payment for a 200k loan. We also did the same things with rates from May 13th.
Jun 24
30-year $1036.07
15-year $1492.43
5-year ARM $936.47
1-year ARM $928.5
May 13
30-year $1065.1
15-year $1509.62
5-year ARM $949.07
1-year ARM $957.13
So although rates were already pretty low on May 13th today a payment on a 200k loan is about $30 less a month for a drop of a little less than 3 percent.
So what is going to happen over the next few months? Its certainly possible rates could fall a little more and we could break some new records with mortgage rates. I would be surprised if rates fell below 4.25 unless the economy went into a significant tailspin. On the other hand once the economy recovers rates should increase rapidly. And in inflation spirals out of control I could see rates jumping into the double digits.
Published on Saturday, June 26, 2010, 6:25 PM Last Update: 2 day(s) ago by Kimbrough Gray