Mortgage rates sink to new record low

Mortgage rates have fallen to a new record low, according to Freddie Mac, and the stagnant economy is to blame. The 30-year fixed-rate mortgage dropped to an average of 3.67% in the week ended June 7, Freddie Mac said Thursday. This is the sixth consecutive week of declines. The 30-year rate is down from 3.75% in…

Shortening Loan Terms

LOW interest rates are making it easier for homeowners to reduce their mortgage payoff times considerably. Almost a third of those who refinanced in the first quarter cut the duration of their mortgages to 15 or 20 years from 30, according to a recent refinancing report by Freddie Mac. The 31 percent who shortened their terms represented the second-highest level…

Probe Widens Into Mortgage Lenders

Federal officials are broadening their investigations of mortgage lenders that use a popular federally backed mortgage program, a move that could force more banks to pick up some of the rising tab for losses at the Federal Housing Administration. U.S. attorneys already have reached settlements with four banks, Bank of America Corp., BAC +0.54% Deutsche…

Renters insurance: the no-lose policy

This article presents the manifold benefits landlords receive by requiring their tenants to purchase low-cost renters insurance.  A landlord’s more worry-free tenancies Renters insurance is a personal insurance policy purchased by renters in possession of the landlord’s property. Standard renters insurance policies offer the tenant coverage for the tenant’s personal property losses and tort liabilities…

Concept of Consumer Price Inflation

Fluctuation in the price level of goods and services  Inflation is a word that is often bandied about freely, meaning different things to different actors in the economy. At times, the concept is considered mystical and used with a lack of confidence in understanding, as is often seen with the gold bugs. The truth about…

Qualified residential mortgages and the 20% down payment: no fear

 As the Consumer Financial Protection Bureau’s (CFPB) summer 2012 deadline for formulating a definition for the qualified residential mortgage (QRM) approaches, criticism against current proposals has continued unabated. Lenders have been some of the CFPB’s loudest critics, claiming they’ve learned their lesson from the failure of negative-amortization and interest-only loans originated during the last decade,…