Deal finally Reached for Mortgage Bailout of Wall Street? - 09/28/08 09:14 AM
The plan calls for the Treasury Department to buy deeply distressed mortgage-backed securities and other bad debts held by banks and other investors. The money should help troubled lenders make new loans and keep credit lines open. The government would later try to sell the discounted loan packages at the best possible price.
Some of the program's $700 billion would be devoted to a program that would encourage holders of distressed mortgage-backed securities to keep them and buy government insurance to cover defaults.
The proposed legislation also calls for the financial sector to help make up the difference if the government … (0 comments)

Which Properties are Eligible for 203(k) Mortgage Loans - 09/28/08 08:58 AM
1. Any one to four unit properties which have been completed (with a certificate of occupancy) for at least one year are acceptable according to the provisions of local zoning requirements.
2. Homes that have been demolished or razed as a part of the rehabilitation process can be rehabbed as long as the existing foundation system is not effected and remains in tact. (as long as there is a portion of the original foundation)
3. A home can be moved onto a foundation on the mortgaged property, provided the proceeds from the sale of the previous location are not released until … (0 comments)

What are Eligable Improvments for 203(k) mortgage loans - 09/28/08 08:54 AM
There is a minimum requirement of $5,000 in eligible (necessary) improvements on the subject property. Improvements to a detached garage, a new detached garage, or the addition of an attached unit (if allowed by local zoning ordinances) can also be included in this first $5,000.
The mortgage must include one or more of the items listed below:
Structural repairs and alterations. Items such as additions to the structure; repairing any and all structural damage. Improvement in the functionality or modernization. Such items as remodeled kitchens and bathrooms. Changes for aesthetic appeal, and the elimination of obsolescence. New exterior siding and new … (0 comments)

What are the Advantages of a 203k Mortgage Loan? - 09/28/08 08:48 AM
The 203(k) loan is a fully disbursed loan which allows a borrower to purchase or refinance a property and finance the cost of rehabilitation with one loan. Because it is fully disbursed at closing, the 203(k) loan can be insured by HUD as soon as the loan closes. The mortgage amount for these loans is based on the projected value of the property with the work completed, taking into account the cost of the work. HUD has taken a strong position to encourage this program and the loan is now easier to originate and close than ever before.
203(k) Advantates:
•·         … (0 comments)

FHA enacts policy changes to deal with "buy & bail" behavior - 09/24/08 09:11 PM
Due to FHA's concern that some homebuyers in these transactions may attempt to provide misleading information regarding the rental income of the property being vacated to qualify for the new mortgage, FHA is instituting underwriting guidance designed to assure that the homebuyer can make payments on the full debt service of both mortgages.
until further notice, the underwriting analysis may not consider any rental income from the property being vacated except under circumstances described herein.
Rental income on the property being vacated, reduced by the appropriate vacancy factor as determined by the jurisdictional FHA Homeownership Center (see http://www.hud.gov/offices/hsg/sfh/ref/sfh2-21u.cfm) may be considered … (1 comments)

Federal Government Proposes to Create new Bad Debt Holding Company - 09/18/08 04:17 PM
Dow Jones industrials went up 400 points today following a report that the federal government may create an entity to absorb banks' bad debt.
It's reported that Treasury Secretary Henry Paulson is considering the formation of a vehicle like the Resolution Trust Corp. that was set up during the savings and loan crisis of the late 1980s and early 1990s.
"It's going to take a lot of the bad debt off the balance sheets of these companies," said Scott Fullman, director of derivatives investment strategy for WJB Capital Group in New York, commenting on the possibilities of an entity akin to the … (0 comments)

Continued decline of financial giants increases pressure on Federal Reserve to cut Discount Rate - 09/15/08 02:53 PM
1st it's Countrwide being sold to Bank of American
Then it's the Feds taking over Fannie Mae & Freddie Mac
Then it's Chase preparing to buy Washington Mutual
Then Lehman Brothers files Chapter 11
Then Bank of America closes in on Merrill Lynch
What's Next?
Many of the remaining financial institutions are not that solid themselves and they are purchasing the assests of insolvent MAJOR INSTITUTIONS.  It's cheaper for the federal government to bulster their bottom lines then worry what to do if/when the purchasers become insolvent themselves.  This point was driven home now that there is NO BUYER FOR LEHMAN.  What happens … (1 comments)

Advice on Disputing Items on your Credit Report - 09/14/08 04:34 AM
The credit reporting bureaus have forms you can use when disputing negative marks on your credit. Using their forms can makes things easier on them. You want them to have to work as hard as possible. They only have 30 days to resolve your claims or remove the items from your record. 
You don't have to explain why something is in dispute. You just have to state what is in dispute.
Start your letter saying something like:
"I reviewed my credit report and found the following errors. Please delete them within 30 days as required by law and send me a copy of … (0 comments)

Credit Repairing Tips - 09/14/08 04:18 AM
Payment History Tips
Pay your bills on time.Delinquent payments and collections can have a major negative impact on your score. If you have missed payments, get current and stay current.The longer you pay your bills on time, the better your score. Be aware that paying off a collection account will not remove it from your credit report.It will stay on your report for seven years. If you are having trouble making ends meet, contact your creditors or see a legitimate credit counselor.This won't improve your score immediately, but if you can begin to manage your credit and pay on time, your … (1 comments)

Looks likely that Chase will buy Washington Mutual (WaMu) sometime Soon! - 09/12/08 03:24 PM
JP Morgan Chase is in "advanced talks" to purchase struggling thrift Washington Mutual, according to a report published today in the American Banker.
Washington Mutual has seen its share price fall more than 75 percent this year, making it a strong takeover candidate for a bank like Chase.
In early January, CNBC noted that Chase was in "very preliminary talks" to acquire Washington Mutual, but at the time no deal was imminent. It now appears as if things have heated up, given WaMu's current point of no return.
Over the last year, the Seattle-based mortgage lender (WAMU) has halted wholesale lending, closed … (0 comments)

Details of the Housing & Economic Recover Act (HERA) - 09/10/08 07:21 PM
On July 30, 2008 the President signed the Housing and Economic Recovery Act of 2008 (HERA).  This bill is actually divided into the following five parts: · FHA Modernization Act of 2008· Hope for Homeowners (FHA Rescue Program)· Reform of Government Sponsored Enterprises (Fannie and Freddie)· Secure and Fair Enforcement (SAFE) for Mortgage Licensing Act of 2008· Tax credit for first time homebuyers.
 A.  FHA Modernization ActLoan LimitsUnder this legislation, the FHA maximum loan limit for high cost areas will decrease to 150% of the Fannie/Freddie limit or $625,500 as of January 1, 2009 and the "multiplier" for a high cost area will change from 125% … (0 comments)

HGTV looking for 1st time homebuyers to feature on "My First Place" TV Show - 09/09/08 04:46 PM
Are you a 1st time homebuyer or working with one in the Chicago area?  I'll be happy to provide you the application, contact name & email address for this.
MY FIRST PLACE, HGTV's hit series, is coming back for a Fifth season and we're looking for first-time homebuyers in the Chicagoland area RIGHT NOW! We are looking for fun, high-energy people who are just starting the home-buying process for their first place! Our goal is to capture all the trials and tribulations of looking for, bidding on and buying your first place. Ideal candidates will be enthusiastic buyers with a great … (0 comments)

Mortgage rates expected to DROP with Government Purchase of Fannie Mae & Freddie Mac - 09/08/08 03:22 PM
About 1/2 of all US mortgage debt is purchased by Fannie Mae & Freddie Mac. Loans conforming to their underwriting guidelines are sold to these institutions allowing lenders like Bank of America, Wells Fargo, Washington Mutual & others to free up cash to make more loans.
An alarming number of those loans started going into default, draining Freddie Mac & Fannie Mae's  financial reserves. This reduced investor interest in US mortgage backed securities worldwide. As investors grew more skittish, rates rose to entice them to continue purchasing mortgage backed investments.  This creates higher mortgage rates for consumers.
By placing Fannie and Freddie into a conservatorship, the government … (1 comments)

 

Illinois Mortgage Lender Greg Zaccagni

Wheaton, IL

More about me…

The Federal Savings Bank

Address: Dupage, Kane, Cook County etc.., Wheaton, IL, 60189

Cell Phone: (630) 853-8555

Email Me

Mortgage Rates, Programs & Trends


Links

Archives

RSS 2.0 Feed for this blog

Find IL real estate agents and Wheaton real estate on ActiveRain.