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Mortgage Rate Recap and Outlook For Week Ending August 24th, 2018

If you read the economic "tea leaves," interest rates should be much higher right now than they are given the combination of a booming US economy, the Feds back to raising rates, and inflation solidly above 2.0%. What's holding them steady? Uncertainty in the markets keeps money invested in the bond market - seen as a safe haven for investors when there is actual or potential turmoil expected to rock the markets. Right now there's plenty of that going around. The main issues spooking investors are the continuing effects of tariffs and threatened…continue reading →

Mortgage Rate Recap and Outlook For Week Ending August 17th, 2018

Without any market-moving economic reports, mortgage-backed securities continue to perform as they have for weeks, with no change in sight. The job market remains strong, with unemployment at historically low levels - as in 48 year low. The only event on the global front that has had an impact on the markets is the collapse of Turkey's currency, and that was a minor market mover. Although it did create some flight to safety into US bonds, there was no significant impact on mortgage rates (see the chart in the section below.) It's notable…continue reading →

When Should You Lock in Your Mortgage Interest Rate?

One of the first decisions home buyers are faced with during the mortgage process is knowing when it's the right time to lock in an interest rate. The easy answer is when the rates are at their lowest - but when will that be? Or did you already miss it? Trying to answer this question and getting it right can drive you a little bit crazy. Try to put mortgage interest rates into a little perspective. First, it's important to know a few things about mortgage rates: You can't lock in an interest…continue reading →

11 Tips For Millennial First Time Buyers. My #CreditChat with @Experian

I was recently invited by Experian to attend their #CreditChat on Twitter to answers some of the top burning questions for the Millenial First Time Home Buyers. Here are the 11 questions and my answers. Q1: What are some important things millennials should keep in mind before they begin the homebuying process? A1: If you think your job is extremely mobile and/or your income uncertain, you shouldn't be buying a home yet.  If renting offers the flexibility like dating, home buying requires the commitment of being married. So, home buying is as much a…continue reading →

Mortgage Rate Recap and Outlook For Week Ending August 10th, 2018

August continues to deliver the same doldrums in economic markets that have been present the past three months. Most economic data continues to come in at expectation, producing little effect on the markets. Inflation is coming in at 2.7% year over year, which is above the Feds target rate of 2%. Expect to see inflation beginning to increase noticeably as trade tariffs start to impact consumer prices. Jobs continue to be a strong point in the US economic data points, with jobless claims at an adjusted 45 year low. Wages are not showing…continue reading →

How to Get Rid of Collections from Your Credit Report

You just checked your credit report, and your score has fallen like a rock! True, you hit a rough patch and missed a couple of payments a few months ago. But you almost had the money to pay them off -- and the creditors turned them over to collection agencies. Now what? The short answer is you have options. Those options may not be quick and easy, but there are definitely things you can try to get the collections off of your report. So take a breath, clear your head, and let’s go…continue reading →

Mortgage Rate Recap and Outlook For Week Ending August 3rd, 2018

Despite continued tariff threats and retaliations between the US and China, the markets are reacting more to the continuing strength in the economy, led by a strong job market.  Overall, the impact on mortgage rates has been a very slight increase that looks more like a sideways movement. Globally, aside from the tariff issues, the Bank of England increased their interest rate this week for only the second time since the financial crisis, noting that the slowing of the economy in the first quarter of the year was temporary. There are no plans…continue reading →

All You Need to Know About the 1031 Exchange

There’s no secret to the way our tax system works: If you make money, you owe taxes.  However, when the taxes have to be paid depends on whether it’s income from your job or from your investments. While you have to pay the taxes on the money you make from working every year, when it comes to real investment income you may not have to pay taxes at all - at least not right away if you've invested in real estate. If you are investing in real estate, then learning about the tax deferral…continue reading →

Why the FHFA Canceled Their Credit Score Initiative

The Federal Housing Finance Agency (FHFA) is officially postponing the decision on changing the credit scoring models Fannie Mae and Freddie Mac (government-sponsored enterprises) have used since the 1990’s. FHFA was established by the Housing and Economic Recovery Act (HERA) of 2008 to regulate and supervise Fannie, Freddie, and the Federal Home Loan Bank System. Tackling the complex issue of switching the current credit scoring model used by Fannie and Freddie has been front and center for almost two years. A final decision was expected by the end of 2018 but all that…continue reading →