WASHINGTON – Aug. 3, 2012 – The average U.S. rate on the 30-year fixed mortgage rose this week after falling to new record lows in each of the past four weeks.
Mortgage buyer Freddie Mac said Thursday that the rate on the 30-year loan jumped to 3.55 percent. That’s up from 3.49 percent last week, which was the lowest since long-term mortgages began in the 1950s. Read the rest of this entry
Expect record-low rates to go even lower over the short term, say 50% of the industry experts polled this week by Bankrate.com. Another 50% expect no change – and no expert predicts rates will go up. Read the rest of this entry
This article came out last week and I thought it was important to share:
New mortgage credit score unveiled SANTA ANA, Calif. – July 11, 2012 – Traditionally, the same consumer credit scores are used to approve mortgages, credit cards and car loans. However, a new mortgage credit score – a joint venture of CoreLogic and FICO – takes more data into consideration in order to “improve lending decision quality and increase the number of mortgage loans lenders make.”
The new FICO Mortgage Score Powered by CoreLogic starts with traditional credit score data but it adds in supplemental data found in the CoreLogic CoreScore credit report introduced last year to generate a final mortgage-reliability score.
FICO says it created the new scoring model specifically to predict mortgage loan performance, and that it has shown a substantial improvement in risk prediction compared to other scores. And if lenders believe they can rely on the score, FICO reasons, they’ll make more loans.
“In this complicated operating environment, lenders increasingly turn to new data sources to help better interpret a consumer’s credit risk, so that more loans can be approved while mitigating potential losses,” says Tim Grace, senior vice president of product management at CoreLogic. “For a top-20 lender processing 300,000 applications a year, adopting this new score could translate into 3,900 more loans approved every year, along with a net financial benefit of $14.5 million.”
© 2012 Florida Realtors®
If you’ve read Jennifer’s blogs, you know the definition of closings costs. Certain fees are automatically assigned to either the buyer or the seller; other costs are either negotiable or dictated by local custom. Since we have many transients in Florida, I get asked about this a lot. Here’s what you can expect: Read the rest of this entry
While there are many steps to the process of purchasing your home, one of the last steps is the time in which your loan is being processed. This time is referred to as “being in escrow”. This occurs after your purchase offer has been accepted and after you have provided your earnest money to your escrow agency. Read the rest of this entry