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New problem mortgage loan rates fell to 0.84% in March, according to Lender Processing Services...

New problem mortgage loan rates fell to 0.84% in March, according to Lender Processing Services (LPS), the first time below 1% since 2007 (it averaged 0.55% from 2000-2004). Negative equity is the key, says LPS' Herb Blecher, and it's falling fast thanks to rising prices.
Comments (4)
  • sethmcs
    , contributor
    Comments (3075) | Send Message
     
    The fed bought all problem mortgages so that is no longer a problem.
    6 May 2013, 11:29 AM Reply Like
  • Coolbluelake
    , contributor
    Comments (544) | Send Message
     
    What worries me is that home prices are going up rapidly and people are going ALL IN with a low interest mortgage. Isn't this what got us into trouble in 2007-2008?

     

    Homes are gunning higher in asking price, no doubt about that. Throw in all the home equity loans that people are using to invest with to gain yield and we could have a major bubble building. The Fed is hamstrung here because if they even raise rates by one sixteenth of a percent, that will be like an air raid siren for a nuclear attack. Chaos could result as hedge funds start heading for the shelters, followed by everyone else.
    6 May 2013, 11:51 AM Reply Like
  • BonnieEmber
    , contributor
    Comments (45) | Send Message
     
    Last call for buying homes for less than costs. Home prices rose 31% in Sacramento in March.

     

    Those sitting on the Fence have gotten off. No more foreclosures from fannie & freddie.
    Combine this with a lack of building for the past 4 years, & we are ready for launch.

     

    Hedge Funds & Corporations cannot short your real estate.
    Go Green, Not Red.
    6 May 2013, 01:13 PM Reply Like
  • doughave
    , contributor
    Comments (26) | Send Message
     
    Look ito ETFC, they own $10B in mortgages purchased pre-bubble, market cap for ETFC is only about $3B.
    6 May 2013, 02:54 PM Reply Like
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