Adjustable Rate Mortgage Blog September Archive

When the Economy Panics

By Website Introductions at 09/26/08 21:59

We are now in the point wherein people don't know what to do with the credit crisis. The problem that started in Wall Street is now spreading to affect small and large businesses not only in the country but in the entire planet (though it is still largely not felt outside yet).

People describe this as a once-in-a-century crisis, so you can't really blame policy makers if they are unsure with what to do.

Link: Economy enters uncharted territory | delawareonline | The News Journal

Home Sales hit 17-year low

The end cannot be seen anytime soon. That is for sure.

In fact, house builders just had their worst new home sales record since 1991. Read more about it here in this news article from Bloomberg.

Link: Bloomberg.com: U.S.

Libor Spikes

Bad news for families with home mortgages as Libor spiked sharply as turmoil in the credit market continues.

Libor is the European based benchmark that is used for resets for subprime mortgage rate and other forms of borrowing in the United and States.

Homeowners should check their mortgages and see if the interest rate is based on Libor. The best move is to refinance the mortgage with fixed rated loans to avoid foreclosures

Link: Benchmark for adjustable rates soars | lohud.com | The Journal News

Housing and Urban Development's Helping Hand

Some desperate families in dire situations usually results to entering mortgage agreements which later on adds up to their miseries as the payment becomes more of a burden than a solution. In dire times of recession and mortgages one concerned department extends its helping a hand to those in persons in need. The U.S. Department of Housing and Urban Development Federal Housing Administration has helped more than a hundred families in Delaware with mortgage issues. To learn more about the HUD's noble cause, read it here.

Link: CapeGazette.com - Covering Delaware's Cape Region - HUD offers mortgage relief to troubled Delaware homeowners

Real Estate Trends

Interest on conventional mortgages continue to slip because investors are moving their stash to stocks that is a safer vehicle like 10 year bank notes.

Researcher predicted that prices will continue to fall this years. Real estate agents on the hand, say that first time buyers needed to jump-start the market.

More details on the link below.

Link: Home loans built on increasingly volatile foundation -- chicagotribune.com