Rates for prime borrowers with 20 percent down were down again last week. The 30-year fixed averaged 4.71 percent with an average 0.7 point for the week ending 3 December compared to 5.53 percent a year ago. The 15 year fixed rate averaged 4.27 percent with an averate 0.6 point compared to 5.77 a year ago. The 15 year rate has never been lower in the years since Freddie Mac started tracking them in 1991. I believe a key component … Continue reading Mortgage Rates on 15 and 30 Year Fixed Rate Fell for Fifth Week In A Row
Loans and Lending
Mortgage Rates on 15 and 30 Year Fixed Rate Fell for Fifth Week In A Row
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FHA Loan Underwriting Standards will Tighten in 2010
Although FHA loans aren’t that common in Carmel and Pebble Beach, they are playing a role in other lower priced areas such as Seaside, Marina, and Salinas. Having said that, two of my recent transactions in Carmel-by-the-Sea have included FHA loans because the “cost of money” under the FHA loan was such that the buyer’s opted for the loan even though they could have paid cash. While the exact changes that will be coming are still being debated, it is … Continue reading FHA Loan Underwriting Standards will Tighten in 2010
Stimulus Impact on Monterey County Home Buyers
A quick summary on the stimulus Bill of 2009 as it relates to home buyers in Carmel, Carmel Valley, Pebble Beach and other areas of Monterey County. > First Time Homebuyer’s Credit – First time homebuyers (which is defined as not owing a home within the past three years), are now eligigle for a tax credit of $8,000 or 10 percent of the purchase price, which ever is less. The entire $8,000 should apply for Monterey County as we’re not … Continue reading Stimulus Impact on Monterey County Home Buyers
The Stimulus Package and its impact on Carmel, Pebble Beach, Carmel Valley
Admittedly many of the homes that sell in Carmel, Pebble Beach, Carmel Valley and over the hill in Monterey and Pacific Grove are priced such that most buyers need a “jumbo” or “non-conforming” loan. “Jumbo” loans are the loan product that has been most changed by the current credit crunch. The cost of these higher principal loans is much higher and the hurdles that have to be overcome to be approved can be extremely tight. Lenders used to make these loans … Continue reading The Stimulus Package and its impact on Carmel, Pebble Beach, Carmel Valley
Also posted in Overall Market Tagged Conforming loans, Loans and Lending, Monterey Peninsula, Mortgages Comments closed
Survey Says, Banks Are Tightening Lending Standards
The Federal Reserve recently published their quarterly survey of 84 banks. The survey asks each bank to summarize it’s trends and lending standards and if each bank’s lending guidelines are becoming more or less restrictive. About 75% of the surveyed banks said their standards have tightened for residential mortgage loans. To quote the somewhat dry language of the report, “Large majorities of domestic respondents reported having tightened their lending standards…over the previous three months. About 80%…noted that they had tightened … Continue reading Survey Says, Banks Are Tightening Lending Standards
