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First Time Home Buyer Tax Credit Extension Helps Mortgage Application Data

admin — Thu, 10 Dec 2009 15:17:47 +0000

The first time home buyer tax credit extension was expected to help increase interest in the United States housing market and that is exactly what we have seen. Yesterday we found out that mortgage applications increase 8.5%. Much of this jump was due to refinancing which accounted for 74% of all applications. Refinance applications were up a total of 11.1% for the week while purchase applications were up 4%.

Even though purchase applications were up only 4% this is still a sign of improvement. Over the last several months we have seen home prices stabilize and much of this can be attributed to the first time home buyer tax credit. First time home buyers bring home an extra $8000 check has made many potential first time buyers consider the idea of home ownership. Along with the extension through April of 2010 the tax credit has been expanded to move up buyers as well.

If you have been a resident of your home for more than five years then you can receive a $6500 tax credit for moving up into a new home. This is free money in your pocket which could go towards many other financial concerns you may have. It will be interesting to see what the data shows as far as move up buyers. We will not be able to analyze this data for several months but there is a good chance that it will do a lot to help the housing market.

If the current economy and your financial struggles have gotten you down make sure to check out the inspirational blog My Life After Retail. The blog is an account of the journey to find peace of mind and happiness in today’s society.

Author: Mike Garner

COBRA Benefits Extension – Increase Subsidy from 65% to 75% in 2010

admin — Thu, 10 Dec 2009 15:05:56 +0000

President Obama and Congress have expressed the interest n a COBRA benefits extension. At this point, COBRA benefits are set to run out on December 31st, 2009. Congress has created a bill that will not only extend COBRA benefits through June but it will also increase the current subsidy of 65% to 75%. There is also legislation that could be attached to this bill that would increase unemployment benefits by $25 a week and would stop the income tax on the first $2400 of benefits received by unemployed Americans.

Health care has been a major topic of conversation in Washington over the last several months and do not be surprised to hear much more about a COBRA extension over the next few weeks. Before Congress recesses for the Holidays many members would like to get this issue and the issue of unemployment benefits resolved. Some analysts and politicians feel that it is going to be impossible to get a bill signed into law before 2010 but only time will tell.

With the unemployment rate still in the double digits and the increased winter energy costs in most states we are going to see a very troubling time for those who are unemployed. Many of these unemployed Americans are finding it very difficult to make ends meet financially and they are just digging themselves further and further in debt if they can even qualify for a loan or credit card. An extension of COBRA and unemployment will greatly assist these individuals in getting through the winter months.

Author: Jeremy North

Unemployment Benefits Extension – California Could be Hit Hard in 2010

admin — Thu, 10 Dec 2009 14:31:07 +0000

Congress is working hard on the unemployment benefits extension as over 3 million unemployed Americans will lose the unemployment benefits in the first quarter of 2010; California could see 589,000 Americans lose their benefits alone. Last month President Obama signed an unemployment extension into law but this only covers those who lose their benefits on or before December 31st, 2009. If your benefits expire after this date then you are out of luck at this point.

Some of the other states that are likely to be hard hit by the expiration of unemployment are Florida, New York, Texas, Illinois, and Michigan. Ten states are expected to see over 100,000 citizens lose their benefits in the first quarter of 2010. Recently we have seen improving data as employers only cut 11,000 jobs which is well down from the monthly average of 135,000 job cuts for the previous quarter. The overall unemployment rate also dropped to 10%.

For those seeking an extension of their unemployment have reason to be hopeful as many member of Congress are working hard to get this bill extended before 2010. House Majority leader Steny Hoyer and Senator Harry Reid have both acknowledged that Congress must address this issue before the end of 2010. The issue at hand is that time is running out and they need to get things going before they recess for the Holidays.

Author: Alan Lake

First Time Home Buyer Tax Credit Extension into 2010 Helps Housing Market

admin — Tue, 08 Dec 2009 16:06:04 +0000

The first time home buyer tax credit extension into 2010 should greatly help the housing market for several more months. In November, we found out that the $8000 first time home buyer tax credit was going to be extended through April 2010. Many politicians worked very hard to make this happen; not only did they get the tax credit extended but they also expanded it to “move-up” buyers.

As a first time home buyer you can receive a tax credit of $8000 but if you are a “move-up” buyer you can receive a tax credit of $6500. A “move-up” buyer is anyone who has lived in their current residence for more than five years and plans to move up into a new home. The closing on these homes must be done by April 30, 2010 to receive an $8000 tax credit or a $6500 tax credit.

There is little argument that the extension of the first time home buyer tax credit should help stabilize home prices. Since the program was created home prices have found a bottom and have actually started trending higher. There are definitely some areas that are continuing to see lower home prices but as a whole the United States has seen a tick up in the price of homes. Now that the tax credit will last until April 2010 there is a good chance that we have seen the bottom in housing prices for the time being.

Author: Alan Lake

First Time Home Buyers Tax Credit Extension with Low Mortgage Rates

admin — Thu, 03 Dec 2009 14:11:46 +0000

The first time home buyers tax credit extension along with low mortgage rates is likely to swell the interest in the current housing market. There are many major markets that are still singing home values decline so finding a great deal is probably not a problem for most buyers. Mortgage interest rates are currently at all time lows with the 30 year fixed mortgage rate around 4.6% which is slightly below the previous all time lows that were set back in March of 2010.

With the first time home buyers tax credit also being expanded to “move-up” buyers there is reason to believe that we have seen the worst of the worst when it comes to the United States housing market. First time home buyers can receive and $8000 tax credit while move-up buyers can receive a $6500 tax credit if they close on their home purchases before April 30, 2010. The data has yet to show a great interest in the housing market but it will come soon.

No one can predict just how low mortgage interest rates will go but there is no reason that you should not at least research what interest rate you can get on a home loan in the current economic environment. If you can lock into a mortgage rate well below 4.75% then it is probably not worth it to make an attempt to find the bottom of mortgage rates. You will end up savings hundreds of dollars a month by locking into these current low mortgage rates.

Author: Jesse Wojdylo

Where are Mortgage Rates Going in 2010? New All Time Lows in January?

admin — Thu, 03 Dec 2009 04:50:47 +0000

Many home owners are excited to see mortgage rates very close to an all time low but many of these borrowers would like to know where mortgage rates are going in 2010. With the 10 year treasury rate yield below its 200 day moving average many analysts feel that mortgage interest rates could continue to move lower. We are currently seeing the 30 year fixed rate mortgage around 4.6% but have seen it as low as 4.49%. If the 10 year yield continues to drop could we see 4.25% in January?

The Federal Reserve Bank has done everything in their power to push mortgage interest rates to all time lows. For much of the year they purchase US Treasuries and now they continue to purchase mortgage backed securities. The plan is to continue to purchase mortgage backed securities through the end of March 2010. With this being the case we can assume that mortgage rates are going to stay below the 5% level until the Fed stops buying mortgage backed securities.

If the 10 year treasury rate yield continues to move lower there is very little debate that mortgage rates will hit an all time low in January. If this is the case there is a very good chance that we are going to see a huge refinance boom. Last March, when mortgage rates were at their previous all time low there was a huge increase in the amount of refinance applications submitted. Look for this to be the case again in December of this year and January of 2010.

Author: Jesse Wojdylo

Home Mortgage Loan Modification Success by GMAC Mortgage

admin — Wed, 02 Dec 2009 22:39:08 +0000

The home mortgage loan modification process has been very difficult for both lenders and borrowers. One company that has seen relative success is GMAC mortgage. From the data that has been received, GMAC mortgage has 35% of the qualifying home loans in a trial modification period. The issue at hand is the fact that most of these loans that are in trial modifications have not received the proper documentation to become a permanent loan modification.

Saxon Mortgage Services leads all mortgage lenders with 44% of qualifying loans in trial modifications; CitiMortgage is second with 40%. GMAC Mortgage comes in third with 35% but is well ahead of Bank of America which has only gotten 14% of qualifying loans in the trial modification period. The government continues to urge lenders to help borrowers as much as possible but borrowers have to follow up with the proper paperwork before the modification can get out of the trial period.

If you are finding it very difficult to makes ends meet financially and making your mortgage payment in full is nearly impossible then you are likely to qualify for a home loan modification. By accessing the Making Home Affordable website you will better understand if you can qualify for a loan modification. The process can get very tedious as there is a lot of paperwork involved and the borrower has to follow up with the lender with even more paperwork as the modification period starts.

Author: Jesse Wojdylo

How Low Will Mortgage Rates Go in 2010? Interest Rates Below 4.25%?

admin — Tue, 01 Dec 2009 19:56:14 +0000

How low will mortgage rates go in 2010? This is a question that many current and future home owners are asking. With the 30 year fixed mortgage interest rate at 4.55% just how much lower can mortgage rates go? Well, in all reality, they can go as low as the Federal Reserve Bank wants to push them. Since March of 2009 the Federal Reserve Bank has been working very hard to keep interest rates low.

All time low mortgage interest rates is something you are going to hear a lot in the next few months as the Federal Reserve Bank plans to buy mortgage backed securities through March of 2010. There is no guarantee that this will continue to push mortgage rates to new all time lows but it is something that is very likely. President Obama and his staff have worked very hard to allow home owners to have the opportunity to refinance at lower mortgage interest rates and this is likely to continue into the first quarter of 2010.

If you have been thinking about refinancing or buying your first home now might be as good of a time as any to start the process. The 30 year fixed mortgage rates is at levels we have never seen before and locking into a 30 year fixed under 4.75% is something that almost any American would desire. Do not let this opportunity pass you by as you may never see mortgage rates this low again after the Federal Reserve Bank takes their hand out of the pot (March?) when it comes to buying mortgage backed securities.

Please make sure to return to Subprime Blogger for all your mortgage and financial news. To stay up to date on the current state of finances make sure to bookmark the current news category below.

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Author: Alan Lake

First Time Home Buyers Tax Credit Extension Sparks Housing Market

admin — Mon, 30 Nov 2009 05:17:17 +0000

The first time home buyers tax credit extension has done a great amount to spark interest in the housing market. Over the next few weeks there is a very good chance that we are going to see a drastic increase in the number of mortgage applications submitted. Part of this is due to the low mortgage interest rate environment that we are in and part of it is due to the first time home buyer tax credit.

If you were unaware, the first time home buyer tax credit was set to expire on November 30th, 2009. In early November there was an extension and expansion that was signed into law. The extension is through April 30, 2010 and the expansion is given to home owners who have lived in their current residence for more than five years and they plan on moving up. Their tax credit will only be $6500 compared to the $8000 tax credit of first time home buyers.

If you are thinking about getting your first mortgage now is probably the best time in history. Home prices are very low, you will get a tax credit for $8000 and the 30 year fixed mortgage rate is currently at an all time low. This weekend we saw mortgage interest rates below 4.5%. This is an unheard of number and something that you should make sure to take advantage of.

Please make sure to return to Subprime Blogger for all your mortgage and financial news. To stay up to date on the current state of finances make sure to bookmark the current news category below.

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Author: Mike Garner

Unemployment Benefits Extension – Getting the Money You Need While Unemployed

admin — Mon, 30 Nov 2009 05:17:04 +0000

The unemployment benefits extension is going to go a long way towards helping millions of Americans who are currently unemployed. Several of those who are unemployed and have seen their benefits run out are having a hard time making ends meet until their unemployment benefits are extended in December. The amount of time it took for this extension to be signed has greatly hurt some unemployed individuals.

Luckily it should not take much longer for the unemployment benefits to kick in. If you have been having trouble paying bills and making ends meet then it might be a good idea to check out some of the companies that offer unemployment loans. Please be aware that these loans often come with a very high interest rate but sometimes that high interest rate is well worth it to allow your family to eat and have a place to stay.

This holiday season is going to be very difficult for many Americans who do not have a job. Hopefully 2010 will bring a better job market as companies expand and try to grow earnings once again. By looking at the trends on Google there is little doubt that jobs are greatly searched more when the new year rolls around. Let’s just hope that the number of jobs increases as well!

Please make sure to return to Subprime Blogger for all your mortgage and financial news. To stay up to date on the current state of finances make sure to bookmark the current news category below.

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Author: Alan Lake