Comments on: What’s going on in the mortgage industry http://thefrontsteps.com/2007/08/22/whats-going-on-in-the-mortgage-industry/ Real Estate, Insight, Statistics, Gossip, & News...With a Twist and Some Flavor Thu, 09 Feb 2012 07:18:36 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Judi http://thefrontsteps.com/2007/08/22/whats-going-on-in-the-mortgage-industry/comment-page-1/#comment-15984 Judi Tue, 10 May 2011 15:02:01 +0000 http://thefrontsteps.com/2007/08/22/whats-going-on-in-the-mortgage-industry/#comment-15984 What I want to know is 2 banks that are well known have put 2 of my friends and their houses in jeopardy. One is in court right now and the other is losing her home. They go to refinance and the bank tells them in order to qualify you have to stop paying your mortgage. One friend didn't wait before she investigated this but the other friend waited 1 year. What happens is the 2 banks promise a rate and then your naver hear from them again. Leaving them wondering what is going on and then the foreclosure comes. I don't know how this can happen. Both people are able to pay their mortgage but were told not to pay. I'm sure glad I did not investigate a refinance. How are these banks getting away with this? What I want to know is 2 banks that are well known have put 2 of my friends and their houses in jeopardy. One is in court right now and the other is losing her home. They go to refinance and the bank tells them in order to qualify you have to stop paying your mortgage. One friend didn’t wait before she investigated this but the other friend waited 1 year. What happens is the 2 banks promise a rate and then your naver hear from them again. Leaving them wondering what is going on and then the foreclosure comes. I don’t know how this can happen. Both people are able to pay their mortgage but were told not to pay. I’m sure glad I did not investigate a refinance. How are these banks getting away with this?

]]> By: kenny http://thefrontsteps.com/2007/08/22/whats-going-on-in-the-mortgage-industry/comment-page-1/#comment-2029 kenny Mon, 27 Aug 2007 17:10:21 +0000 http://thefrontsteps.com/2007/08/22/whats-going-on-in-the-mortgage-industry/#comment-2029 According to a March First American study, the lion's share of rate resets for any one year have or will reset during this calendar year. The family on the front page of the Chronicle this morning (www.sfgate.com) is one example. Not to say that '08 or '09 won't see the same phemomenon, they will. It was 370B this year, and 250B in '08 and '09, respectively. http://www.marketwatch.com/news/story/mortgage-reset-tsunami-could-end/story.aspx?guid={ECEE333A-22A2-4ECD-8C69-5ED431190A9E}&dist=MostReadHome I wanted to know, Dave, because I have an ARM myself. And it's gonna reset in March. Tho I'm sitting on 200+K in equity in a neighborhood that's still climbing, even as of this month, and 'll look good enough on paper to re-fi in March if need be. I'm thinking that this has a lot to do with the market, right now. Not a pending future crisis. This is what is happening now. Folks are getting pinched and they cannot re-fi. Whether or not prices will fall in SF is the question. According to a March First American study, the lion’s share of rate resets for any one year have or will reset during this calendar year. The family on the front page of the Chronicle this morning (www.sfgate.com) is one example. Not to say that ’08 or ’09 won’t see the same phemomenon, they will. It was 370B this year, and 250B in ’08 and ’09, respectively.

http://www.marketwatch.com/news/story/mortgage-reset-tsunami-could-end/story.aspx?guid={ECEE333A-22A2-4ECD-8C69-5ED431190A9E}&dist=MostReadHome

I wanted to know, Dave, because I have an ARM myself. And it’s gonna reset in March. Tho I’m sitting on 200+K in equity in a neighborhood that’s still climbing, even as of this month, and ‘ll look good enough on paper to re-fi in March if need be.

I’m thinking that this has a lot to do with the market, right now. Not a pending future crisis. This is what is happening now. Folks are getting pinched and they cannot re-fi. Whether or not prices will fall in SF is the question.

]]> By: David http://thefrontsteps.com/2007/08/22/whats-going-on-in-the-mortgage-industry/comment-page-1/#comment-2028 David Mon, 27 Aug 2007 02:23:17 +0000 http://thefrontsteps.com/2007/08/22/whats-going-on-in-the-mortgage-industry/#comment-2028 That this will all blow over in 2 to 3 months seems to me laughable. The lion's share of ARM resets don't happen until some time in early to mid 2008, gradually ramping up until then. Despite the better heeled buyer in San Francisco, we wouldn't have the astronomical level of pricing here without ARMs. These are the loans that will worsen the credit squeeze because the more people who can't refinance, the more who will default thus forcing lenders into ever more defensive positions. At this point, it's just not clear how the market will compensate or how long it will take. That this will all blow over in 2 to 3 months seems to me laughable. The lion’s share of ARM resets don’t happen until some time in early to mid 2008, gradually ramping up until then. Despite the better heeled buyer in San Francisco, we wouldn’t have the astronomical level of pricing here without ARMs. These are the loans that will worsen the credit squeeze because the more people who can’t refinance, the more who will default thus forcing lenders into ever more defensive positions. At this point, it’s just not clear how the market will compensate or how long it will take.

]]> By: Dave http://thefrontsteps.com/2007/08/22/whats-going-on-in-the-mortgage-industry/comment-page-1/#comment-2027 Dave Wed, 22 Aug 2007 13:39:53 +0000 http://thefrontsteps.com/2007/08/22/whats-going-on-in-the-mortgage-industry/#comment-2027 I can't for the life of me figure out why someone would sign up for a 3/1 interest only ARM during this climate... I can’t for the life of me figure out why someone would sign up for a 3/1 interest only ARM during this climate…

]]>