Interest Rate Report for December 9, 2009

Commentary & News:
2:00 pm ET: Cooler heads help market to recover as the DOW remains in negative territory.

1:15 pm ET: Bond prices fell in FAST trade this afternoon driving mortgage rates higher. Prices shot lower following the announcement from the Treasury that foreign accounts did not purchase as much of the 10-year offering as the previous auction. Despite the fact that the participation from overseas accounts was better than average, we initially got clobbered. Like they say in the mortgage business, you are only as good as your last deal. Lets hope cooler heads help prices to recover.

10:00 am ET, Lenders set pricing

Mortgage bond prices opened lower Wednesday morning adding to the losses seen Tuesday afternoon. Bond prices came under pressure early in the day when stock futures were positive, however, despite the DOW Jones index opening lower, rates did not recover. This is a sign the market is concerned over the auction this afternoon.

The only event on tap today is the Treasury auction of $21B ($21,000,000,000) in 10-year notes. Yesterday’s 3-year auction was good, however, sometimes good is not good enough. Indirect bidder participation, an indication of foreign demand for US debt was slightly below expectations, which caused a knee-jerk reaction driving rates higher. Be careful as the day progresses, rates often come under pressure as traders prepare for the additional supply. Auction results are expected by 1:15 pm ET.

Traders will spend the day watching stocks. If stocks move higher, rates will suffer. At pricing the DOW was near unchanged.

Good News Rates are still at historical lows CALL TODAY to lock in your rate no matter if you are Refinancing or Buying a new home it's time to do so!

800-208-4753 OFFICE, 866-610-1514 FAX, 909-631-7530 CELL, DREYES@GMAIL.COM

Modifications and what you need to know your bank is going to ask from you

Loan Modifications are getting approved everyday but I want to take this time and remind people and also educate you on what your bank will ask from you and how the process works.

First thing first the loan modification process will test your patience! Banks right now are so behind on requests for loan modifications. That said the process can take anywhere between 3 months or more than 1 year depending on your situation...

Remember that banks will ask for:

1. Complete tax returns for at least 2 years
2. 1 to 2 months of bank statements
3. 1 to 2 months of pay-stubs
4. Signed hardship letter explaining your financial hardship.
5. Monthly Break down of your Revolving Debt and Living Expenses.
6. W2 for the last 2 years.

If your a self employed Person they will ask for a lot more! (Email me) and I will send you a list!

What gets Homeowners denied is that your bank is going underwrite this loan modification request as if you were buying the home so they will analyze your financial picture. All banks have different Guidelines they will look over and some banks will do a loan modification if you have no money left over on your budget and some request a Net Plus of income to approve a loan modification. I know it's confusing but that's how the banks work.

I would advise anybody that you can do this on your own----but if you do not have the time to follow up sometimes (DAILY but many times weekly) OR get the the requested Documents banks may ask in a timely manner than hire someone to do it for you. In most cases you do not need an attorney to do this! Only if you have proof that you have been wronged when you received your loan or feel you the bank has broken laws when you received the loan would i say to go and hire an attorney! I have successfully done many modifications to state this.

Hope this helped! Remember! Don't Give up and If you need help feel free to contact me with any questions you may have! 800-208-4753 OFFICE OR REFIONCE@GMAIL.COM

ASK ABOUT OUR HOLIDAY SPECIAL! NO UPFRONT FEES CHARGED UNTIL THE LOAN MODIFICATION IS APPROVED!

I want to talk about where Interest rates, Loan Modifications, and Foreclosures will go next year!

Well I have to say that 2009 has been a roller coaster of a ride. That is especially true when it comes to Real Estate. Interest rates have been pretty much low all this year. Were around the same rates we were last year. Right now you can secure a interest rate of 4.50% to 5.00% depending on your situation since not all loans are the same. You can expect to pay a higher rate if your going to cash out than just lowering your interest rate just too. Where I see interest rates going forward? I expect to see them go higher a lot higher especially when take into account inflation...Just take look at OIL and GOLD right now. I would say around March 2010 you will see interest rates move up. What worries me the most is the decline in the home values it seems to be not stopping as in dropping home prices. Without a stop to this growing problem I see Loan Modifications and Foreclosures continuing to gain steam. Loan Modifications are increasing in popularity with homeowners and don't blame them for going that route. Many times interest rates can be as low as 2% where in a regular home loan interest rates start in the mid 4's. The only drawback is that in a loan modification you will be waiting anywhere between 3 to 6 months to see what your bank will grant you for a loan modification.

Finally I want to speak about Foreclosures. Based on the report I get from www.foreclosureradar.com every month (Below is the link for the report)Notice of Default are up 103.46% from prior year!!! and in my professional opinion we will continue to see that if the economy does not improve. Since now we are seeing Homeowners who did not have bad loans as a Negative Amortization loan or ARM be in financial trouble due to a lack of work or a drop in their income. As always I want to state that this is my professional opinion. Feel free to contact me with any questions you may have 800-208-4753 or refionce@gmail.com LINK FOR REPORT http://www.mediafire.com/?sharekey=3d1ffe6f43605ab0ab1eab3e9fa335ca9abd688cc149ea85

Another Approval! CITI MORTGAGE!

Below are the details of the OLD and NEW LOAN TERMS!

OLD LOAN

5.75% FIX
$2,582.70 PRINCIPAL, INTEREST, TAXES, INSURANCE
Client had PMI on his loan
Behind 3 months
Hardship: Client was not working Overtime and with cost of living expenses rising
he needed a help!

NEW LOAN

2.00% FIX for 5 Years
$1,530.00 PRINCIPAL, INTEREST, TAXES, INSURANCE
After 5th Year Interest Rate Increases 1% until it goes to the Cap Rate of 5.125%
Client no longer has PMI
All Late Payments are forgiven and 1st Payment is not until March 1, 2010

That is a monthly savings of $1,052.70!
Client will save $63,162.00 for next 5 Years!
Client will save an additional $24,860.16 after all interest rate adjustments
total savings after loan adjusts to 5.125% is $88,022.16!

Feel free to contact me with any questions you may have 800-208-4753 or refionce@gmail.com

1st Time Homeowners Credit Extended

With prices plummeting and foreclosures spiking, it's a buyers' market if you’re one of the lucky ones that can enter the market. And if you are a first-time home buyer (have not owned a home for 3 years) you still have time to take advantage of an $8,000 tax credit to buy your home. Though set to expire at the end of November, there are currently negotiations in place to extend the tax credit. The Obama administration is in favor of extending it for a “limited period,” according to the Treasury Secretary Tim Geithner & Housing Secretary Shaun Donovan.

Highlights of First Time Home Buyer Tax Credit:

* The tax credit doesn't have to be repaid
* The tax credit is equal to 10 percent of the home’s purchase price up to a maximum of $8,000
* The credit is available for homes purchased on or after January 1, 2009 and before December 1, 2009
* Single taxpayers with incomes up to $75,000 and married couples with incomes up to $150,000 qualify for the full tax credit.

So if you are in the market to refinance or get a new home or equity loan, now may be the time since these record low rates won’t last forever. A low rate may save you thousands over the course of your loan. Act now call today to lock in your low rate (800)208-4753 or email me at refionce@gmail.com

Persistence Pays Off When Loan Modification Saves House and Credit - washingtonpost.com

Great Article on Loan Modifications! Pretty much will answer many questions homeowners have when thinking about
doing a loan modification!

Persistence Pays Off When Loan Modification Saves House and Credit - washingtonpost.com

10 YEAR BOND

Last couple of days we have seen the bond move up yet we still have interest rates at historical lows 4.50% to 5.00% fix for 30 years. Just finished with another client who got 4.875% at 30 year fix and they cashed out $40,000.00! So if you are still in the market to refinance or buy a new home it's a good time to do so!

Remember don't worry if you do not have equity you can still Modify your home loan and take advantage of the low interest rates! I would not hesitate since I would remind you that this will not last forever! Feel free to contact me 800-208-4753 Office or dreyes@refionce.com

The Next Major Crisis Brewing -

In short the link below states what I have been saying for the last year. We should see higher interest rates by next year. Since the FED will have to raise the yields across the board to have the major buyers of Treasury's come back into buying them! Read below Great Article!

Interest Rates are in the 4%'s for a 30 year fix loan, 20 year and 10 year loans. and the 10 year bond is at 3.21% as of 8:00 a,m. California time. I would refinance (If you can) to a lower rate and Cash out for a rainy day fund or if your in the market to buy I would do so now since when Interest Rates go up so will your mortgage payment if you buy down the line!

The Next Major Crisis Brewing -- Seeking Alpha

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ANOTHER APPROVAL THIS TIME GREENTREE

WOW THAT'S ALL I CAN SAY! This is by far one of the best modification approvals I have seen! Feel free to give me a call at anytime 800-208-4753 Office or dreyes@refionce.com

OLD LOAN TERMS

$548,500.00 LOAN AMOUNT
8.725% INTEREST RATE
6 MONTHS DELINQUENT
$3,988.05 PRINCIPAL AND INTEREST
$988.90 TAXES AND INSURANCE
$4,976.95 TOTAL PAYMENT (PRINCIPAL, INTEREST, TAXES, INSURANCE)

NEW LOAN TERMS

$398,177.08 NEW MODIFIED PRINCIPAL BALANCE
5.04$ INTEREST RATE
THE BANK IS SETTING THE ACCOUNT TO CURRENT FORGIVING ALL LATE PMTS. AND LATE FEES!
$2,213.77 NEW PRINCIPAL AND INTEREST PAYMENT
$988.90 TAXES AND INSURANCE
$3,202.67 TOTAL PAYMENT (PRINCIPAL, INTEREST, TAXES, INSURANCE)

TOTAL SAVINGS PER MONTH OF $1,774.28 AND BALANCE REDUCTION OF $150,322.00

New Loan Modification Approval!!!

Just Received another loan modification approval! The loan is with American Servicing Company . Below is the details! Feel Free to contact me with any questions Ask about our Modification Processing Special!! 800-208-4753 Office or dreyes@refionce.com



OLD LOAN TERMS
520,000.00 Loan Amount
7.625% Interest Rate
$4,494.73 Principal and Interest and Taxes and Insurance
The rate was adjustable so it could move or down at any given time
4 MONTHS BEHIND ON PAYMENTS

NEW LOAN TERMS
532.000.00 New Loan Amount
5.00% Fixed (30 Years)
$3,690.07 Principal and Interest and Taxes and Insurance
All late payments are put in the back of the loan and again the rate is fixed for 30 years.
Plus his first payment is not until November 1, 2009!

The Customer is saving about $800.00 a month and the rate is no longer Adjusting!

Please remember that Modifications are not going to be getting approved forever!
The faster you move on getting your paperwork submitted the faster you can start to save your money!

Greenspan: Need To Cut Fed Balancesheet To Prevent Inflation

Hate it when I'm right! Growing Debt and too much easy credit believe or not is going to kill us in the long term! Click below to see what Greenspan said below!

Greenspan: Need To Cut Fed Balancesheet To Prevent Inflation

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ATTN: Homeowners with Loans at Chase and EMC Loan Modification Approval in 2 weeks!!!!

Exciting News!!!!

We can now get your loan modification with Chase or EMC approved in 48 to 72 hours...as long as you qualify for the "Fast Track Mod" Call me to see if you qualify for this program. The whole loan modification process is complete in 2 weeks or less.

Also good news on the mortgage side.....Interest rates are still at historical lows! Depending on what you want done (Cash out or Rate/Term Refinance) the rates start at 4.75% to 5.00%

Call today 800-208-4753 or email me at dreyes@refionce.com

New Loan Modification Approval!!!

Another client was approved for a modification. Below is the old loans he had with CITI-Residential and the new loan modifications he just received today.

OLD LOANS

6.30% Interest Rate (Adjustable)
$2,399.33 on the 1st Mortgage Payment (Principal and Interest)
$1,161.47 Taxes and Insurance in Los Angeles

12.35% Interest Rate (Fixed)
$1,108.42 on the 2nd Mortgage

$4,669.22 Total Mortgage Payment

NEW MODIFIED LOANS

2% Interest Rate (Fixed for 5 years) then goes up 1% every year for the lifetime cap of 6% fixed. The terms are the same for the 1st and 2nd mortgages.

Payments are as follows:

$2050.49 Principal and Interest on the 1st Mortgage that includes the taxes and insurance $451.96 Principal and Interest on the 2nd Mortgage. The customer is now saving $2,166.77 a month. For the First 5 years he will be saving a total $130,006.20

Since this modification was approved today I will post the Letter from the lender as soon as the client receives it. Please be aware that this modification did take 5 1/2 months to complete. I just wanted to give you the some details of another finalized modification and how you should never give up. This customer here was turned down TWICE before.

Feel free to give me a call at anytime. 800-208-4753 or refionce@gmail.com

Only 9% of homeowners getting help!!

The Obama administration's first progress report on its foreclosure prevention plan confirms it is off to a slow start. Read more.....

http://money.cnn.com/2009/08/04/news/economy/Obama_mortgage_modification/?postversion=2009080508


Feel free to email me refionce@gmail.com or call me at 800-208-4753 with any questions you may have at anytime!!!

To Refinance or Modify???

Are you thinking about refinancing or a modification of your loan before you do take into account a few things.

1. When you last refinance did you show any financial documents (w2, Tax Returns) Pay stubs)?
2. Did you have any equity left over after the last refinance?
3. Are you late on your mortgage(s) or have been late in the last few months?

If you answered NO to say questions 1 and 2 then you can't refinance and will have to modify your home loan. If you had equity left over and did show financial documents to prove your income and have not been late in the last 12 months then you may want to look into refinancing!

The good news about doing a modification is that more then likely you can secure a better interest rate then doing a refinance. Since Refinance loans are still tied to what the banks are offering per their guidelines then say a modification where they have more room to play with. The bad news that you will have to wait at least 3 to 6 months to get it done and that's if you qualify!

The trick to an approval on a modification is doing right the first time so you won't be having to re-apply again down the road! If you don't know much about the real estate market and mortgages then hire a real estate lawyer and save some time and headaches!

Here is where I work with www.lossmitigationsetup.com it's a law firm that takes care of the modification process from start to finish and guarantee's you a modification or you get the "fee" charged returned in full! Call me at 800-208-4753 or email me at refionce@gmail.com if you have any questions! Follow me at http://twitter.com/refionce

Thanks to FED CHAIRMAN 10 year bond tanked!! Lower Rates here we come!!

Treasurys rally as Bernanke stresses low inflation - MarketWatch

Call or email me with any questions you may have ask about our Refi or loan modification Specials!!! refionce@gmail.com or 800-208-4753 Follow me at http://twitter.com/refionce

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Flat day for 10 year Bond

The 10 year bond was pretty much quiet...As of right now the bond is at 3.61% which will more then likely keep the interest rates close to 5% for a 30 year fix loan.

Keep in mind that most banks right now are taking 30 days plus to get the loan through processing. If you need some help with either refinance or modification on your home loan you may email me or call! Have a great day...

800-208-4753 or refionce@gmail.com

You can see Foreclosure Listings for Free!

Bonds going back down...

If you need help doing a refinance or wanting to secure a loan to purchase a new home this is a good time to start the loan approval process!


Call me today 30 year fix interest rates are at 5.25% ! Call today 800-208-4753 !

Rates are moving up FAST

I hate it when I'm right.....sometimes I have been telling everyone who has been interested in buying and refinancing that they would need to do something quick since interest rates move fast and now we are at 5.50% to 5.625% for a 30 year fix and maybe we will see 6.00% to 6.25% by the end of June or July!

What I'm hoping is that we will see a downturn by the end of summer but who knows! The Federal Reserve i believe is kind of stuck they can't play the were buying all the bonds to keep rates down game for too long! Google China & 10 year bond and you will see that they are asking the Federal Reserve to stop from keeping printing more and more money and buying bonds with it! Or hoping that the Chinese are going to keep buying Our bonds.....

My advise to you would be if your looking to refinance Get your broker or bank to get you approved and then wait for the rate to go down but first remember get yourself approved since if you wait for the rate to go down and then get approved you might miss that low rate since you will not be able to lock in the interest rate if your not approved! and many times banks are taking 30 to 45 days to secure an approval!

Buying a home still makes sense...Prices are really low....Feel free to give a call or email me at anytime! 951-943-2919 or refionce@gmail.com

Bonds still have more room to go!

I would say we still have some ways to go on the bond! I don't how especially with all the bad economic news....I would think of it like a warm up of what will be our reality down the road and that's double digit interest rates. Inflation plus lack of credit will be painful for the credit worthy consumers. My advice would be to refinance now and use some of the equity you still have and invest it on something in either real estate or stocks since this painful downturn will come and go! Good Luck! 4.875% 30 Year Fix is today's rate on 85% LOAN TO VALUE WITH CASH-OUT!

Bonds moving up!!!!!!!!!!!!!!!

Just finished a conference call with some banks and some bankers. Rates are moving up and could be going up even more if bonds keep doing what they have been doing the last 2 weeks! 30 year rates is 4.875% from the 4.50%. What everyone is chatting about is the job report tomorrow and also what the FED is going to say about any inflation worries down the road..... Call me 800-208-4753 or email me refionce@gmail.com if you need questions answered.

Guideline changes No more Broker - Appraisal Ordering

Beginning in May Lenders are not allowing Brokers to setup up Appraisal's directly with an appraisal company of their choice! If your wondering why? The reasons are many but it's mostly been done since many appraisers were surveyed and many stated they were pressured to "bring" in the value at certain numbers sometimes! In my professional opinion I think the move is a "dollar short and a day late" the economy has already pretty much done what a lot of us in the business wanted...take out the shady and "here today gone tomorrow" part time professionals! What this will do is hopefully keep the process flowing and hope it does not add more weeks to the Underwriting process which is about 3 to 4 weeks out in many banks! even for Good to Great Credit Borrowers! Like always shoot me an email or call at anytime with any questions you may have Take care! refionce@gmail.com or 951-943-2919 Office

Guideline Changes!!!

A lot of banks are now only lending up to 85% on your current value when you want to Cash out! Also starting on May 1, 2009 many banks are going to start to having everyone order their appraisals through a management company who then will assign an appraisal Company to do the report! This will be mostly done on Conventional loans.....but you never know maybe it will also be done on FHA loans in the near future. The reason for this move if this is the fist time you hear about the appraisal ordering change was to stop appraisers get pressured from Brokers, Account Executives from bring in the values higher. With the slow down in the real estate market I do not see that as much! but you still have pockets of areas that are seeing an improvement in values! Were still currently seeing interest rates in the high 4's so like always it is a very good time to refinance or to purchase! Any questions can be directed to me at refionce@gmail.com or a phone call at 800-208-4753 will also work! Take care!

Interest Rates are falling again!!

Interest rates are low again anywhere between 4.75% to 4.875% for a 30 year fix!
Remember that interest rates move and down so you need to move fast and lock in

Now for what I see happening with the mortgage market. We are seeing a lot of wholesale lenders being really picky on who they want to lend too. FHA is probably the way to go if your high on your Loan to Value since your still seeing lending up to 95%!!! What I don't like is that values keeping falling and that's a problem! We need to fix fast to start seeing the economy as a whole improve. Since i believe a lot of people are not buying since values keep going down and lenders are less wanting to lend on. What most is killing everyone right now at the end of the day is fear....fear of not knowing where we are going either forward or backwards? No one knows but if history has taught us anything and that is we are going to come out of this a better country!