Monthly Archives: August 2007

Another day, another batch of Gloom-and-Doom stories in the news. Remember to keep a level head — the media’s job, in part, is to sell newspapers and capture eyeballs. Using the word “crisis” repeatedly is one way to meet that … Continue reading →

As we discuss over and over again, mortgage interest rates are determined by the price of mortgage bonds. Nothing else, and nothing more. The challenge in that truth is that mortgage bond pricing is not very accessible to the general … Continue reading →

Industry trade magazine Inside B&C Lending pegs the 2006 dollar volume of new sub-prime loans at $640 billion. According to the Real Estate Charts chart above, 78% of those dollars were in 2-year adjustable loans. A loan of this variety … Continue reading →

It’s been on the news a few times lately, so let’s address a key misconception about the Fed and its relationship to mortgage rates. The markets now anticipate that the Fed will lower the Fed Funds Rate within the next … Continue reading →

After all the volatility and talk of a global crumble, all of the major U.S. stock indices posts gains last week. It just goes to show you what a strange roller coaster ride we’re all on. Last week, the market … Continue reading →

Any security — stock, bond, or otherwise — has a specific risk associated with it. Based on that risk, an investor decides whether or not the price is worth paying. If the security is a “good value”, an investor will … Continue reading →

“If only I knew what my street was like before I bought the house!” Ignore the statewide statistics, forget the city figures. Phooey to the neighborhood. Reinforcing the notion that all real estate is local, meet Street Advisor, the definitive … Continue reading →

The Fed left the Fed Funds Rate unchanged again today for the ninth time in a row after 17 consecutive hikes. The Fed once again highlighted inflation containment as its chief concern while noting that pressures on the economy appear … Continue reading →

The stock market bounced back yesterday from Friday’s losses, adding 287 points. There wasn’t much activity in mortgage rates, though, which remained relatively flat. Right now, it’s all eyes on the Federal Open Market Committee and their 2:15 P.M. ET … Continue reading →

In a week in which several high-profile mortgage lenders closed their doors, not all news was bad. Mortgages rates for home loans bought by the quasi-government groups Fannie Mae and Freddie Mac actually dropped a bit. If you only watched … Continue reading →