Adjustable Rate Mortgage Blog January Archive

How to Modify Your Loan to your Benefit

01/29/09 09:24

It may be too late for the federal government to save some people's homes, but knowledge on the part of these people might save their houses from foreclosure.

If you are one of these people who are on the verge of losing your prized properties to the banks, you might want to read this book from mortgage expert Tim Carroll about a step-by-step guide to the loan modification process. Lower your monthly payments. Save your homes. Modify your loan!

Link: Mortgage Expert Tim Carroll Writes Step-by-Step Guide on the Loan Modification Process

Modifying Your Loan

If there is one good thing about adjustable rate mortgages, it's that these loands are relatively easier to modify without refinancing. It takes two to tango, as they say, and when it comes to these kinds of loans, it requires the approval of both parties to modify.

As a client, how should you propose a loan modification to your loan? It may be relatively easy, but it's not completely easy. Here are some tips from Boston.com

Link: Have an adjustable-rate mortgage? It's probably time to bargain - The Boston Globe

Jobless claims dive

As interest rates for mortgages dive to record lows, the number of jobless claims fall to numbers unseen before.

However, according to government authorities, this is not another turn in the country's worsening economic condition. Rather, this is just one of those seasonal quirks that befell the labor market. How can something like this be seasonal? This article from Reuters tells us how.

Link: Jobless claims dive while mortgage rates ease again | Reuters

 

Nationwide to set floor on tracker mortgage interest rates

Nationwide, along with a few other mortgage lenders, will be setting a floor on their tracker mortgage rates. This means that even the base rate falls below 2%, Nationwide will still gain sizeable profit margins. They have invoked a clause in their mortgage contracts to set the floor.

This will also allow Nationwide to keep up with their contractual obligations to their savings account clients.

Link: Nationwide to set floor on tracker mortgage rates | MoneyHighStreet.com

Mortgage rate to hit sub-5%

Due to the Federal Reserve's buying of half a billion dollars worth of mortgage-backed securities and gains guaranteed by Frannie Mae will push the mortgage interest rates lower than 5%.

Just last month, 30-year mortgage loans have hit interest rates lower than 6%. Now the next stop is lower than 5%, and this is very possible. Get ready to refinance your mortgage.

Link: Home-Mortgage Rates' Next Stop: Below 5% - WSJ.com