Last week’s economic reporting included readings on sales of new and previously-owned homes, inflation, and weekly readings on mortgage rates and jobless claims. President Biden announced his nomination of Federal Reserve chairman Jerome Powell for a second term. Financial markets were closed Thursday and Friday for the Thanksgiving holiday. Single-Family Home Sales Increase in October The Commerce Department reported sales of new homes rose in October with 745,000 new homes sold on a seasonally-adjusted annual basis. October sales fell short of the 800,000 new home sales expected by analysts but surpassed September’s reading of 742,000 new homes sold. The National … [Continue Reading...]
If you're in the market for a new home, you'll most likely need a mortgage in order to afford it. But for some home buyers, getting a mortgage isn't easy. Banks and other lenders are often hesitant to lend money to certain consumers, often for good reason. But sometimes, lenders' reasons for declining you aren't entirely valid. That's why, if you've been denied for a mortgage, you'll want to keep trying to get mortgage funds. Here are three factors that can influence the likelihood of approval on the second try. A Second Appraisal Might Change Your Circumstances Sometimes, a mortgage lender will deny a loan because the property value of the home in question isn't large enough to back the … [Continue Reading...]
If you're looking into fixed term mortgages, you might be wondering whether there's any reason why you should take the full term to pay off the loan. In a lot of cases, paying off a mortgage before it comes due is a great decision. If you're considering paying off your mortgage early, you'll experience a variety of benefits – here are just a few of them. You'll Save Thousands In Interest Payments By and large, the single biggest advantage of paying off a mortgage early is the money you'll save in interest. The longer you take to pay off your mortgage, the more you'll pay in interest overall. In fact, on a 30-year fixed-rate mortgage, you'll pay as much in interest as you do in … [Continue Reading...]
Last week’s scheduled economic news included readings from the National Association of Home Builders on housing market conditions. Reporting on housing starts and building permits was released along with weekly reports on mortgage rates and jobless claims.
NAHB: Home Builder Confidence Grows as Demand for Homes Increases
November’s national reading for home builder confidence in housing market conditions for single-family homes rose three points to an index reading of 83 and the expected reading of 80. Component readings for the national index were mixed. Builder confidence in home sales for the next six months was unchanged at an index reading of 84. Builder confidence in … [Continue Reading...]
Are you thinking about using a mortgage to buy a new home? Buying your own piece of local real estate is a major financial investment and one that can require some pretty complex math to fully understand. In this blog post we'll discuss mortgage calculators and how to use one of these tools to determine your monthly mortgage payments, interest charges, amortization periods and more. Determining Your Principal and Down Payment Amounts To get started with a mortgage calculator you'll need to know how the price of the home and how much you intend to contribute as a down payment. Generally speaking you'll want to place a down payment of at least 20 percent in order to avoid having to pay for … [Continue Reading...]
Purchasing a house can be expensive, but there are measures in place to make it easier, particularly for people buying a home for the first time. One option is a mortgage credit certificate. What is the certificate, and how does it work? A Mortgage Certificate Is A Tax Credit A mortgage credit certificate, usually shortened to MCC, is a credit issued to first-time homebuyers by the local or state government. This certificate allows first-time homeowners to claim a federal tax credit for mortgage interest paid on the loan, with a limit of up to $2,000. When someone takes out a mortgage, the majority of the payments go toward interest. This credit certificate allows homeowners to recover some … [Continue Reading...]
