re: The Day Ahead: Markets Hesitant Ahead of Employment Data

Ryan Guess — Thu, 02 Jul 2009 12:48:04 GMT

467,000 job losses and a 9.5% unemployment rate. Looks like MBS are going to start off in the right direction.

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

Collin Dye — Thu, 02 Jul 2009 12:06:25 GMT

I retract my earlier statement about the cost. Borrowing costs will definitely be an issue. I'll reserve my optimism until the full details of the program are layed out. The comments from everyone thus far indicate a lot of skepticsim as to whether this program can even truly benefit the borrower.

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

victor davis — Thu, 02 Jul 2009 10:49:38 GMT

...though I understand the 'raise the Loan To Value to 125%' which is obvious, LTV been the front end; what will the CLTV, HCLTV and TLTV be...the back-enders? The same? 125% CLTV? Now, when the program first launched in April, one of the biggest selling points was the 110% but we soon found out that most lenders were unwilling to lend on that practice and some went as far as to ignore it all together while others lowered it to 95 on the front and 105 on the back. People, if properties have depreciated over 35% in some areas what will a 125 back end do especially with the turn times we're experiencing for re-subordinations? Better yet, HARP is a limited cash out program which means the only thing added to the outstanding balance is the closing cost which essentially defeats the whole purpose; how can you expect homeowners to have more discretionary income to boost the recovery and bottom out housing if you limit their savings to just $150.00 to $300.00 a month? Though that's something its really nothing! Make it a true program where borrowers who have demonstrated the ability to not only pay their mortgage on time but all their other debts consolidate ALL their debts should they choose and the LTV allowing into one monthly payment, in which case you can save a single household $1,000.00 to more than $2,500.00 a month in some cases. That's the real housing and economic boost. You can't say 110%, then 105% and then 125% and then guess what, you can't even include purchase money second...I think the whole thing's a wash...

re: GSE Loan Modifications Increase. Prime Borrowers Falling Further Behind

gregory guay — Thu, 02 Jul 2009 10:39:58 GMT

I own a condo and have an outstanding balance of $140k, consisting of $104k primary and $36k secondary. I took the home equity to consolidate debts. At the time the property was valued at $163k but now it is valued at $134k. I'm looking to sell because i am engaged and will be moving into my fiancee's home. Check http://obamamortgage2009.blogspot.com/2009/03/obamas-mortgage-modification-do-you.html If I have a buyer who offers me within say $5-7k of the outstanding, can i agree to assume a loan on the residual and pay the bank the difference over time with interest? The same bank holds both mortgages.

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

Christina G — Thu, 02 Jul 2009 02:06:33 GMT

I agree that cost is an issue. The point to expanding the LTV ratio to 125% is in hopes to reach more people but if there are going to be high costs involved than that could eliminate the benefit to refinance as well.

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

mark mcdonough — Thu, 02 Jul 2009 01:50:44 GMT

i agree with the cost comments,between llpas and appraisal issues,the industry is complicating the simple to the point where alot of work is done to determine that the borrower has no benefit.

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

Victor Burek — Thu, 02 Jul 2009 00:42:07 GMT

The costs are an issue. Freddie to freddie loans have restrictions on what can be rolled into the new loan. Also, with additional costs, consumers might be forced into premium pricing to cover those fees which will increase their mortgage rate and reducing or eliminating the benefit of refinancing. The biggest hurdle is the reluctance of 2nd lien lenders agreeing to the refinance by subordinating.

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

Collin Dye — Wed, 01 Jul 2009 23:48:16 GMT

I don't care the cost, to be honest. If lenders start endorsing this program it opens up an additonal avenue for business in an otherwise too strict market.

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

Christina G — Wed, 01 Jul 2009 23:15:51 GMT

I could be wrong but I am assuming the 125% LTV will come at a cost. I had 2 appraisals done this spring, the second one came in 30 k less than the first and that brought our LTV >95% Fannie charges 1 point for > 95% .

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

Collin Dye — Wed, 01 Jul 2009 22:43:46 GMT

The real question is when do lenders begin to print paper on this program???

re: Mixed Data for Real Estate, ISM Index Improves

Cheri Magnuson — Wed, 01 Jul 2009 16:31:07 GMT

thanks Joe - Yeah, to get .125 I would not pay a whole other point - maybe .5. I close on July 31st and truthfully, I don't see that the rates can get too much worse, but they could possibly get better. I think that is the fence I am sitting on right now. Just to keep waiting - and feeding my silly ulcer I like to call George.

re: Mixed Data for Real Estate, ISM Index Improves

Cheri Magnuson — Wed, 01 Jul 2009 16:00:15 GMT

Chris, so your 15 day lock would be tomorrow then? Are you finding the 15 day locks are better than the 30 days? I know, I hate to be greedy, but - currently my husband is out of work, and thus - every little bit I can save each month will help.

re: Mixed Data for Real Estate, ISM Index Improves

Joe Borek — Wed, 01 Jul 2009 15:59:22 GMT

Cheri, The pricing is artificially worse before holidays, due to low volume and staffing. But tomorrow is U/E numbers which is sometimes a roller coaster ride!! If you can ride it out, waiting should work to your benefit. Also hard to believe there is a 1.00 spread between 5.125 and 5.25 should be about .50 based on today's numbers.

re: Mixed Data for Real Estate, ISM Index Improves

Scott Wong — Wed, 01 Jul 2009 15:57:59 GMT

I am exactly on the same boat with a closing date of July 31. I've been following this site for 6 weeks and decided to lock in today at 5.375% 30-year fix through WF with no points. I was hoping rates would drop to 5.25% but I didn't want to play the waiting game any longer.

re: Mixed Data for Real Estate, ISM Index Improves

Chris Kendall — Wed, 01 Jul 2009 15:51:36 GMT

I'm kind of in the same boat Cheri, looking at a July 17th close. Interesting what your broker says about higher rates leading into the holiday weekend. Wonder if some of the pro's here can confirm that. I was thinking of locking this week but maybe it's better to wait until after the weekend.

Top News - All Comments

re: The Day Ahead: Markets Hesitant Ahead of Employment Data

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

re: GSE Loan Modifications Increase. Prime Borrowers Falling Further Behind

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

re: HARP Guidelines Allow for 125% LTV. Originators Still Skeptical

re: Mixed Data for Real Estate, ISM Index Improves

re: Mixed Data for Real Estate, ISM Index Improves

re: Mixed Data for Real Estate, ISM Index Improves

re: Mixed Data for Real Estate, ISM Index Improves

re: Mixed Data for Real Estate, ISM Index Improves