Me Myself N My Mortgage Theories

Hi all,

Here’s a rundown of the top 4 mortgage stories this week:

States sue Countrywide: The states of California, Illinois and Washington have decided to sue Countrywide Financial Corporation over its unfair lending practices. The State of California alleges that the company has forced homeowners into taking risky loans. Know more …

MA charges 5 with Mortgage Fraud: Investigators in the state of Massachusetts (MA) reported that they have broken up a mortgage fraud ring involving bank employees. These employees have created fictitious and inflated bank accounts due to which borrowers, who would otherwise not have qualified for mortgage, have been able to get such loans. Know more …

Mortgage rates shoot up: Rates on 30-year fixed rate mortgages rose to the highest level in more than 9 months, thereby inching to an average of 6.45% from 6.42% last week. However, 15 year loans went up to an average of 6.04% from 6.02%. On the other hand, 1 year ARMs rates climbed to an average of 5.27% from 5.19%.

Fixed rates held comparatively stable this week compared to ARMs which rose up slightly due to the market uncertainty on how Fed would respond to inflationary pressures. Know more …

Mortgage applications drop: Loan applications seem to have dropped down for 2 consecutive weeks thereby getting loser to the lowest level in 6 and 1/2 years. One of the primary reasons behind this is the fall in demand for buying homes. For the past 2 years, the housing market is on a slump and is currently not able to rebound because of tighter lending standards and unwieldy supply of homes. Know more …

Technorati Tags: mortgage stories, states sue countrywide, mortgage fraud

This entry was posted on Saturday, June 28th, 2008 at 2:53 am and is filed under Mortgage. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.