All Entries in the "Money Matters" Category

Bellevue Loan Officer Sentenced to 7 Years for Mortgage Fraud

Bellevue loan officer Christopher Brooks, whose own attorney said he could be a “poster child” for the nation’s mortgage mess, was sentenced Friday to seven years in federal prison and ordered to pay nearly $2.5 million in restitution for running what prosecutors say was one of the largest home-mortgage-fraud cases brought so far in Western [...]

Economic Stimulus Projects in Washington

Below is  a link to the “shovel-ready” projects the mayors of Washington State submitted in the 2008 U.S. Conference of Mayors report. You can click on a project to read (and add to) its description. You can also discuss the project and vote on whether you believe it is critical or not. For a more [...]

Washington Foreclosure Rate Low

The Washington Realtor News (Nov/Dec 2008) tells us that Washington State stands pretty well on foreclosures in the housing market. Washington is currently performing 62% better than the national rate.

Evergreen Virtual Advisor – Investment Newsletter by David Hay

Past EVAs have noted that the trailing 10-year return on the stock market now trails that of the 1930 to 1939 period. As you can see from the chart below, the last decade is now essentially tied with the fourth worst 10-year period going all the way back to the 1830s.

Mortgage Rates Plunge on Signs of Credit Thaw

Mortgage rates reversed course in a big way this week, with the average 30-year fixed mortgage rate dropping from 6.74 percent to 6.32 percent. According to Bankrate.com’s weekly national survey, the average 30-year fixed mortgage has an average of 0.39 discount and origination points.

Economic Insights – Schwab Center for Financial Research

Lawrence Yun, Chief Economist for the National Association of Realtors has stated in his forecast for 2009 that new existing home sales should rise despite economic struggles.

Zillow Quote API makes it easier and more efficient for lenders to provide custom quotes to borrowers

Real estate Web site Zillow.com today announced Zillow Quote API, a new feature within Zillow Mortgage Marketplace that allows participating lenders to automate custom quotes to borrowers who submit loan requests. Made possible through an application programming interface (API), the new automation program will be rolling out in the coming weeks, starting with five technology providers: Leads360, Mortech, Mortgagebot, NYLX and Optimal Blue.

Rates Up or Down After the Election

One mortgage advertiser puts forth that this is a good time to refinance the present mortgage. There was mention that after every presidential election, rates went up. Really? So with a presidential election about to be decided the time was ripe to make that call and get the new loan at lower rates. After the election might be too late.

Evergreen Virtual Advisor – Investment Newsletter by David Hay

Stock markets around the world remain under extraordinary pressure as do credit market such as corporate bonds and preferred stocks. The S&P 500 has now experienced its worst 10 year return in history. The odds are increasing that governments worldwide will more forcefully intervene to stabilize financial markets.

New Stock Market Terms

CEO –Chief Embezzlement Officer.
CFO– Corporate Fraud Officer.
BULL MARKET — A random market movement causing an investor to mistake
himself for a financial genius.
BEAR MARKET — A 6 to 18 month period when the kids get no allowance, the
wife gets no jewelry, and the husband gets no sex.
VALUE INVESTING — The art of buying low and selling [...]

Evergreen Virtual Advisor – Investment Newsletter by David Hay

Incredibly, tax-free bonds now yield 20% more than taxable Treasury bonds. And in another sign of how topsy-turvy the credit markets are, A-rated bonds now yield more than BBB-rated issues.

At-risk Washington homeowners to get help in Countrywide settlement

Attorney General Rob McKenna Monday announced a landmark settlement brokered by Washington and other states requiring sub-prime lender Countrywide Financial Corp. to provide loan modifications for as many as 395,000 borrowers nationwide. As a result, nearly 10,000 Washington homeowners will receive about $200 million in payment relief.

Expect Heating Costs To Jump 15% This Winter

Heating U.S. homes with oil this winter will cost a painful $450 more than a year ago, another slap to families already reeling from high gasoline and food costs and fearful of losing their heat because of unpaid bills.

Columbia Business School Economists Offer Plan for Stabilizing House Prices

Columbia Business School economists offer plan for stabilizing house prices would allow residential mortgages to be refinanced at a rate of 5.25% with Fannie Mae and Freddie Mac.

Is Now a Good Time to Buy?

The average buyer probably doesn’t have the cash to gamble on real estate–and shouldn’t, at least for now. Income growth has stalled for the vast majority of Americans for the past eight years, and home equity has been vanishing rapidly since the peak of the boom in 2005. (Last month, median existing home prices nationwide fell 6%, to $221,900.) The roiling stock market is hardly a comfort either, as everyone who has peeked at a 401k statement over the past week knows.

A look at the changes in real-estate lending rates

The past several weeks have been nuts for lenders. Just to show you what I mean, take a look at this Sept. 30 post to the Rain City Guide from mortgage broker Rhonda Porter.
Porter posts rates every Friday on Rain City Guide. She also writes the Mortgage Porter and posts regular live rate quotes on [...]

First-Time Buyer Tax Credit – Now is a great time to be a home buyer

The Housing and Economic Recovery Act of 2008 may allow first time homebuyers to receive a tax credit of up to $7,500. The credit expires in June 2009. The amount of credit is 10% of the cost of the home, not to exceed $7,500. This credit is refundable and will reduce your income tax liablility for the year of purchase when claimed on your tax return.

Income Levels v. Home Prices

Economists often pay close attention to the ratio between how much local incomes have been rising and how much local real estate prices have been climbing. If real estate prices rise faster and farther than do local incomes, then it is a sure sign that local real estate is moving into a range in which it’s either difficult to afford or simply unaffordable.

$85 Billion AIG Bailout Alternative – ‘We Deserve It Dividend’

Instead, of bailing out AIG I’m in favor of giving $85,000,000,000 to America in a ‘We Deserve It Dividend’.

To make the math simple, let’s assume there are 200,000,000 bonafide U.S. Citizens 18+. Our population is about 301,000,000 +/- counting every man, woman and child. So 200,000,000 might be a fair stab at adults 18 and up.. So divide 200 million adults 18+ into $85 billion that equals $425,000.00.

The Affordability Index

This is a rather strange indicator of how affordable the homes are in a given area—strange primarily because it makes assumptions that may or may not be true. Generally, the index notes the amount of income needed to purchase an area’s median-priced home in a transaction with a 20% down payment and an institutional mortgage loan for the balance of the purchase price.