rates: Why are loans taking longer than 30 days?
- 02/01/09 04:15 PM
Good question! The answer to this question is the result of lower mortgage interest rates. A few months ago, many lenders were laying off their underwriters, processors and customer service positions due to the slow refinance market. Then the Fed decided to purchase $600 billion worth of mortgage backed securities, which put confidence into the mortgage bond market. Rates dropped considerably and everyone was racing to their broker or bank to refinance. They just weren't prepared for this influx of new loan applications, so what happened was a slow down in underwriting files. The lenders now had to re-hire new employees … (5 comments)
rates: Hope for Homeowner Program is a Big Flop
- 01/07/09 10:46 AM
The Federal Governments stimulus package that was supposed to help homeowners who are facing foreclosure and who are upside down on their homes turned out to be a big flop. The Hope for Homeowner program which is all over the governments website: http://www.fha.gov/ is having it issues. The main issue is that this program is voluntary. Lenders do not have to participate and they aren't. I've heard that one lender, Flagstar Bank is one of the few that is utilizing this program. Only problem is that they are only refinancing loans that they are servicing, so if your mortgage isn't with … (40 comments)
Good question! The answer to this question is the result of lower mortgage interest rates.
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