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House Crash- Have we hit the bottom?
2008-05-21 19:07:00
              The data shows the housing forecast by the National Association of Homebuilder. The total housing starts are expected to increase in 2009 which is a leading indicator showing that this may be the bottom year of the housing decline. If these forecasts are accurate, there should be a rebound in the housing market with increasing buying ...
More About: House , Crash , Bottom

Will the Housing Crisis Ever End?
2008-05-12 21:47:00
The housing crisis is far from being over. Looking over the Economist this past weekend it was visible that the data/ maps used by Mr. Bernanke only seemed to encompass houses financed by mortgages backed by the government-sponsored giants, Fannie Mae and Freddie Mac. But by excluding subprime and jumbo loans, the maps/data has left out the top ...
More About: Housing , Crisis

Market Changing
2008-05-05 16:39:00
Home prices declined by 12.7% in the month of February. The market is taking a sharp decline as seen by the market chart above which maps the housing price trends from Jan 2000 to Feb 2008. The leading indicators are still not positive as the housing starts are down, the constructions permits are still not ...
More About: Market , Changing

News Affecting the Housing Market - Looking Bad Out there
2008-04-07 21:02:00
 News headlines: U.S. employers cut payrolls by a larger-than-expected 80,000 workers in March, as the unemployment rate jumped from 4.8% to 5.1%, the highest since September 2005, the Labor Department said April 4. Economists had forecast a decline of 60,000 in non-farm payrolls and a rise in the unemployment rate to 5%. The number of new people ...
More About: Market , Housing

How Much will Your House Loos in Value!
2008-04-02 17:02:00
Some gurus have looked at a value of a 50% fall in valuations. I will say that number struck me as really high but then I thought that I would re-examine this view in light of recent developments, and the afforability index. Here is some data a dug up.  If the ratio of homes to wages were ...
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Credit Myths That Can Hurt Your Chances to Buy
2008-03-26 16:30:00
Managining creidt is a long and sometimes confusing process. There are people everywhere giving contradictory advice. So here is my take on the couple of myths out there that hurt potential homebuyers chances to get a good mortgage. 1. You should avoid using credit cards Thats a myth is crazy. There is an article that I read in the American Chronicle that acutally advocated that consumers stop using “their credit cards, pay off everything and go to an all-cash plan.” Boys and girls this is bad advice in my opinion as in order to prove to the FICO scoring system that you know how to manage revloving debt, you MUST dare I say NEED to have active credit card accounts with some balances on them. I dont suggest you go off the deep end and get 15 credit cards and just charge everything onto your cards that you cannot pay down. But I do suggest you get one or two credit cards to buy your groceries, gas, dinners with the family etc. and then you pay them off every month; that w...
More About: Credit , Hurt , Myths , Chances

How Bad is the Mortgage Crisis going to Get?
2008-03-18 19:54:00
“What started in subprime is likely to continue cascading into the markets and keep the economy down until 2010, economist Paul Krugman forecasts. Bottom line for homeowners: An average drop of 25%.” - Paul Krugman, Economist Princeton economist Paul Krugman spoke with Fortune’s Jia Lynn Yang about the impact on the economy, the outlook for ...
More About: Mortgage , Crisis

Do Not Buy a Home- Before You Read This
2008-03-05 13:43:00
It’s a terrible market out there but there are still people saying that we should jump in now as the market has seemed to bottom. Are they right?- Maybe. But I think that we are still not at our bottom; Why do I think this: “Today’s housing prices are predicated on an impossible combination: the strong ...
More About: Home , Read

Is the Market Going Down Further?
2008-02-25 18:34:00
Well, here are the facts from last week: The U.S. consumer price index rose 0.4% in January, higher than analysts? expected 0.3% gain, the Commerce Department said February 20. The core index, which excludes food and energy costs, increased 0.3%, more than economists? expected hike of 0.2%. On the same day, the Federal Reserve released the minutes ...
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Who Is Wearing the Pants in the Decision Process
2008-02-21 21:47:00
Women control 91 percent of homebuying or remodeling decisions. This finding from a recent Harvard University study caused Doris Perlman, founder and president of Possibilities for Design, a Denver-based home design firm, to delve more deeply into the homebuying habits of female baby boomers (women born between 1946 and 1964). Among her observations: This target market is ...
More About: Pants , Decision , Process

Fed Interest Rate Cut- Only a Temporary Bandage?
2008-02-18 23:21:00
“When an asset like real estate becomes overvalued, even if you drop interest rates to zero, you can’t force consumers to borrow more, because they’ve already borrowed too much. Nor can you force lenders to lend, because they’re already puking on ‘bad paper.’ It’s called a liquidity trap.” -Bob Campbell, San Diego Real Estate Timing This ...
More About: Interest , Rate , Interest Rate

Credit Scoring System- Reason for Housing Downfall?
2008-02-15 23:15:00
Fair Isaac Corp.’s credit score? developed by engineer Bill Fair and mathematician Earl Isaac to help banks and department stores calculate their customers’ creditworthiness?has come to loom over consumer finance. “FICO is the wizard behind the curtain of the economy,” says Matt Fellowes, a scholar at the Brookings Institution, a Washington think tank.But with mortgage ...
More About: System , Credit , Housing , Reason

New FHA Loan Limits - Revival or Disappointment on the Horizon
2008-02-11 22:49:00
The rise in the FHA insured loan limits from $200,200 to $271,000 (low-cost markets) and the rise in limits to $417,000 (high cost markets) coupled with the raise in the cap to $729,750 on jumbo mortgages that Fannie Mae and Freddie Mac can buy. This is expected to raise the new home demand by 10% ...
More About: Loan , Limits , Disappointment , Horizon , Revival

Why You Need a Warranty Deed To Protect You
2008-02-07 20:27:00
A quit claim deed is the legal way that one person (the grantor) transfers real property, such as a house or land, to another person (the grantee). As an example, a divorcing husband may quit claim his interest in certain real estate to his ex-wife. While the concept is simple and straightforward ? relinquishing all ...
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Housing Market Still Not Out of Hot Water
2008-01-31 21:35:00
The housing market prices are still falling and the decline is far from over.  The housing prices plunged while the foreclosure rates are still rising. Home prices plunged by a record 8.4 percent in November, according to a composite index based on 10 U.S. cities tracked by Standard & Poor’s. It was the eleventh straight monthly decline for ...
More About: Market , Housing , Water

The Housing Prices Price Slashing Continues
2008-01-28 23:24:00
A new study shows exactly how and why that might occur: Home Price to Rent Ratio: “U.S. house prices “likely would have to fall considerably” to return to a normal relationship with rents, says a study by one former and two current Federal Reserve economists. The study, which doesn’t necessarily reflect the views of Fed policy makers, ...
More About: Housing , Prices

Why HOUSING MARKET is Changing the WHERE WE Live?
2008-01-25 18:18:00
Housing slump and mortgage crisis combined to reshape population flows in 2007, according to demographic estimates released by the U.S. Census Bureau in early 2008  In particular, the data revealed that: Nevada?s growth rate fell to 2.9% in 2007 from 3.5% the previous year. Florida?s growth also hit a low of just above 1%, down from its high ...
More About: Market , Housing , Live , Changing

Fed 3/4 Rate Effects New Jersey Mortgage Market
2008-01-23 15:46:00
The Federal Reserve surprised everyone Tuesday with an emergency intersession rate cut of .75%, the deepest cut in the Fed Funds Rate since 1984. The Fed Governors are acting in direct response to recent reports that the country is on the brink of recession. If you have credit cards, auto loans, HELOCs, or an Adjustable Rate ...
More About: Market , New Jersey , Mortgage , Jersey , Effects

Revival of Real Estate Market
2008-01-22 21:07:00
Fed cuts the Fed Funds Rate 3/4 of a point. “Don’t take today’s move … to mean that the FOMC is through,” said Richard Moody, chief economist at Austin-based Mission Residential, in a note to clients. “We expect another funds rate cut at the scheduled January 29-30 meeting, with possibly more to come in the spring.”  ...
More About: Estate , Real Estate , Real Estate Market , Market , Real

Fed Chief and His Quick Action Plan
2008-01-17 23:15:00
His speech and words moved the market. These are his words to help stimulate our economy:                    Excerpts provided by nytimes.com (http://www.nytimes.com/2008/01/17/busine ss/17cnd-fed.html?_r=1&hp&oref=sl ogin)  ?We currently see the economy as continuing to grow, but growing at a relatively slow pace, particularly in the first half of this year,? Mr. Bernanke told the House Budget Committee, acknowledging that conditions are ...
More About: Action , Chief , Quick , Plan

Mortgage Market Update- Market is squeezing borrowers
2008-01-14 22:06:00
Lenders have made it tougher for borrowers to obtain mortgage financing in serveral weakening housing markets thereby pompting borrowers to seek properties in less affected areas. In New Jersey, areas such as Newark, Elizabeth, East Orangee etc. have been hit hard by high delinquency and foreclosure rates coupled with excess inventory of homes for sales ...
More About: Market , Mortgage , Update , Mort

New Year Promise- Help Improve Your Credit (A Quick Reference)
2008-01-10 20:07:00
If you credit rating are suffering because of mistakes on your credit report, it is YOUR RIGHT to have them corrected at no cost. This is true for New Jersey homebuyers as it is for buyers and consumers all across the United States. Credit bureaus are legally required to investigate disputed information by contacting the creditor ...
More About: New Year , Quick , Reference , Improve

Introduction to Installement Land Contracts
2008-01-07 17:18:00
This is a quick FYI to put into your knowledge database. A type of financing where a seller legally owns a property until the buyer repays the loan Installment sales contracts are a creative way for buyers to purchase a home without having to qualify for a loan or to pay closing costs. The contract is made ...
More About: Introduction , Land , Contracts

Farmland a good invesment choice?
2008-01-04 21:29:00
farmland prices skyrocketed 50% over the past three years, to an average of close to $2,200 an acre through August, according to the U.S. Department of Agriculture. Mike Duffy, an economics professor at Iowa State University, calculates that the average year-end farm price in the state will be a record $3,908 an acre — $508 higher ...
More About: Choice , Good , Farmland

Why Record a Deed?
2008-01-03 20:17:00
Your deed is considered complete once it has been signed, sealed and delivered. Record ing the deed is not required by law in order for the transfer from the seller to the buyer to take place. However, in order for you to be covered to protect yourself from future claims on the title, you should record ...
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New Year - Changing Real Estate Market for 2008
2008-01-02 04:15:00
United States is deep in its worst housing slump since the Great Depression. In a new survey, Moody’s Economy.com says many metro areas will record losses of 20 percent or more during the downturn, with the national median price for single-family homes dropping 13 percent through early 2009. Factoring in discount offers from sellers, the ...
More About: New Year , Estate , Real Estate , Real Estate Market , Market

Conventional, FHA and VA Transactions Defined
2007-12-19 14:45:00
What is the difference between conventional, FHA and VA mortgage financing? A conventional loan is the standard loan type with the usual down payment and underwriting requirements. These will differ from lender to lender, but it would typically involve a minimum 10% down payment, an above average credit rating and the lender would verify employment, income, ...
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Abuse of Limited Power of Attorney
2007-12-17 20:13:00
The growing use of Limited Power of Attorney can open door for “scam artisis” to victimize homeowners and borrowers. The Limited Power of Attorney (LPOA) is an agreement giving a designated individual the authority to sign documents relating to  a specific real estate transaction. Limited Power of Attorney are common place items in commerical transactions but their ...
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Fed?s Liquidity Plan- Months to take effect
2007-12-15 00:00:00
Like every fed move in the past, the effects of their decisions takes months on end to affect the consumer market. Their latest decision will not be any different. Anlaysts expect that the Fed's decision to improve money avaliability in the market and cutting the Fed Funds rate should help improve the ...
More About: Effect , Plan , Months , Mont

Fed?s Liquidity Plan- Months to take effect
2007-12-13 18:49:00
Like every fed move in the past, the effects of their decisions takes months on end to affect the consumer market. Their latest decision will not be any different. Anlaysts expect that the Fed’s decision to improve money avaliability in the market and cutting the Fed Funds rate should help improve the consumer market in the long ...
More About: Effect , Plan , Months , Mont