Where are mortgage rates heading??? - 08/29/08 07:21 AM
Check out the bond chart below. As bond prices go down (see the red), mortgage rates go up. As bond prices go up (see the green), mortgage rates go down.  (please note, there are many factors that push rates one direction or the other, but mortgage rates do tend to move adversely to bond prices)  Note the volatility of the ups and downs over the past 3 months. Now, notice all the green since August 11th and the "break-out" above several of those downward trending lines which had been acting as "ceilings of resistance." Nobody knows what will happen with mortgage rates, … (0 comments)

FHA Financing Changes... - 08/29/08 07:13 AM
FHA financing is undergoing some changes as a result of the "Housing and Economic Recovery Act" or HERA. Here are a few of the major changes. *No more seller-funded Down Payment Assitance programs.  Grants and gift money is still OK. *Buyer contributions will be increased from 3% to 3.5% *The recent credit-score driven mortgage insurance costs are being postponed. *For most FHA home purchases and refinances, there is a small bump from 1.5% to 1.75% for the Upfront Premium that is financed and the monthly renewal cost is increasing from .50% to .55%. This is a minor change that won't alter qualifying or … (0 comments)

Nehemiah and other Down Payment Assistance Programs are going away... - 08/06/08 07:23 PM
Another "hot" item in the Housing Reform Bill signed by President Bush last week was the elimination of Down Payment Assistance (DPA) Programs.  A Down Payment Assistance program was allowed by FHA and some conventional loan programs.  What started as a way for non-profit groups like churches and such to gift funds to their members, became a business.  Non-profits cropped up with the sole purpose of "gifting" funds to buyers and primarily used with FHA. 
In the typical situation, a seller would make a donation to a non-profit and then the non-profit would "gift" funds to the buyer.  Sort of like a … (7 comments)

1st Time Buyers find money in new Housing Bill - 08/06/08 07:07 PM
I'm writing to let you know about one part of the new Housing Reform Bill that President Bush signed last week that may be of interest to you.  The Bill was almost 800 pages long, so our resources are still deciphering it.  But, there is one part that will be of interest to many First Time Home Buyers. 
The term "First Time Home Buyer" typically refers to a home buyer that has not owned any real estate in the past three years.  Now, here's the information from the Bill, as I understand it.
First time home buyers are now able to … (1 comments)

 
Kenpederson Rainmaker_large

Ken Pederson, Certified Mortgage Planner

Lancaster, PA

More about me…

FAIRWAY Independent Mortgage Corp

Address: 3008 Columbia Avenue, Lancaster, PA, 17603

Office Phone: (717) 431-9299

Email Me

Ken Pederson, a mortgage lender and Certified Mortgage Planner in Pennsylvania, talks about wealth accumulation and mortgage advice.


Listings

Links

Archives

RSS 2.0 Feed for this blog