Denver Mortgage Rates are Still Low-Because of the Pending Economic Uncertainty in Europe.

Denver mortgage rates are still low because the Europeans can’t seem to get their act together when it comes to avoiding a potential recession due to their economies. Wow that was a mouthful. Really what I’m trying to say, is that bad news is always good news when it comes to Colorado mortgage interest rates. When there is bad news, like what is going on in Europe right now with their banking system; retail sales are down; unemployment is high and anything else that might be considered a negative to most people who are not in the industry. So, in other words we hear bad news, the Federal Reserve does everything they can to try and keep interest rates low for home loans in Denver CO, because they hope to stimulate the economy so that we start hearing good news. See we have good news, the Federal Reserve Board doesn’t have to do anything to try and stimulate the economy, because economies already doing well. So fortunately or unfortunately those of us in the mortgage industry are not always as saddened by bad news. This is because we know that the interest rates will be low and we will probably get more loans because of it.

Consumers are Always Trying to Second-Guess the Market When it comes to Denver Home Loan Rates!

Consumers are always trying to second-guess whether the economy will do the be good or bad, so that they can try and get the lowest rate possible when they go to either refinance; sell and/or buy a home in Denver. The problem with this is it’s like trying to guess when a company stock will be at its lowest so that you can buy and make more money. Hardly anyone can be Johnny on the spot and get the very best rate. Even those of us in the mortgage industry who try to get the very lowest rates for all of homes hardly ever are able to guess exactly when the best time to refinance or buy would be. So, the best you can do is look at whether the rate is low enough for you to meet your both long-term and short-term goals and if it is in fit your budget and I recommend that you go ahead and pull the trigger and act on getting the lowest possible Denver mortgage rates you can!

I hope the helps, because it’s basically the way we do it the industry and how we watch for rates to be at the lowest. Again, good news is bad news and bad news is good news for Denver mortgage rates.

Low Denver mortgage rates are great way to buy a home!

Low Denver mortgage ratesare great way to buy a home, simply because you can get more home and space for your money. With mortgage rates as well as they have been it is easy to buy a home that has more square footage than you thought possible a year ago. What this equates to, is that you can buy a home that is bigger or in a better location than you had hoped for previously. This is great especially if you need more bedrooms; bathrooms; three-car versus two-car garage or a finished basement-which are very popular in Colorado.

Denver home loans this lower also great because the home that is just right for you might now have a lot lower payment than a year ago. So if you were first-time home buyer last year and cannot find a home that you felt you could afford, this year might be a totally different story when it comes to getting the home of your dreams. Again, if you can get more home for what you have budgeted for-that is a real plus isn’t it? You bet it is! So for first-time homebuyers looking to buy a home in Denver Colorado, the timing might never be better.

Denver mortgage rates are very affordable!

Denver mortgage rates that are this affordable can also help you qualify for a lot of different first-time home buyer programs and or low down payment programs. These include CHFA; Hoap; CHAQ; VA and FHA home loans in Colorado. This is also what many people referred to as a buyers market. This means that there are more homes for sale then there are homebuyers in the Denver Metro marketplace. This gets to be exciting, because not only are you going to get a great payment on the home, but most home sellers are willing to wheel and deal to sell their present home. If, they can sell their present home then of course they become homebuyers and can get a better deal on the home they are buying. So, not only can you get a great deal on a home, but you also get a great payment to go along with it.

Low Denver mortgage rates are helping both buyers and sellers in this market!

So, Denver mortgage rates are also helping home sellers who need to sell their homes fast, because there are so many buyers in the market that if they are priced right they should have no problem selling their home in a timely manner. Don’t forget, homesellers also include people who were shortselling their home; bank owned properties; HUD properties; VA repos’s; foreclosed homes and houses that are auctioned off for sale in Denver Colorado. So, as you can see we are not in what they call a typical market. The word home seller has a lot of different meanings now doesn’t it?

The biggest mistake people make is thinking that Denver mortgage rates will go lower. The bottom line is-if you find a home that you like and you can afford it then it is always the right time to buy!

Denver Mortgage Rates Help First Time Home Buyers!

Below Denver mortgage rates have really helped first-time home buyers buy homes with affordable payments. Because you can now buy more home for the money or get more bang for your buck, people and families have found that is often more and advantageous to buy them to rent a home. This is because often the money would pay for rent is more than if you went ahead and bought a house.

Down payment assistance programs are still available!

The one thing that seems to hold first-time homebuyers back from owning their own home is usually the down payment. However, there are lots of first-time home buyer programs that can help with this problem. For instance, you have CHFA home loans which will let you get into a home for $1000. You also have CHAQ and the HOAP programs that offer down payment assistance. All that is required of these programs is that you are first-time home buyer or you that you haven’t owned a home in the last three years and that you meet their income requirements. The income requirements are that you can’t make too much money or else you won’t qualify for the programs. Kind of funny to hear, that you might make too much money. The best way to find out if you qualify for these programs is to get with a qualified mortgage lender or broker and have him or her do a preapproval and that will tell you whether you meet the guidelines are not. Low Denver mortgage rates have also helped with these programs, because historically the rates of always been a little bit higher to offset the risk to the lender for offering a low down payment. Now, even these Denver  mortgage rates are historical lows.

Low Denver home loan rates are also helping sellers!

Below Denver home loan rates are also helping reduce inventory and get the housing crisis under control. This is mainly because more people can qualify for a home and a payment they can afford, so more people are looking to homeownership is at as an alternative to renting. This is also great for homebuyers, because there is more inventory for them to pick from. You now have short sales, bank owned homes, HUD homes and even existing homes are offering incentives. This could be in the form of the seller being willing to pay part or all of your closing costs and escrows. The typical amount that you would need for this is 3% of the purchase price.

So as you can see it’s a great time to be buying and selling a home because of the very low Denver mortgage rates.

Denver First Time Home Buyer Programs!

Denver First Time Home Buyer Programs have always been popular for people who are trying to buy their first home in Colorado. The problem with buying your first house, is usually not your desire or willingness to buy a house, but your ability to get the right loan that will enable you to afford the home. This can be especially important if you’re on a budget or you just want to make sure they have enough money left over the end of the month to meet your other financial obligations.

The other big problem most home buyers face, especially if it is their first home. Is that, they might not have the required down payment to get into the house of their dreams. This is why people seek out Denver first-time home buyer programs, as it usually allows them to get into a home with the minimum amount required for a down payment. These programs can vary and can be unique to a specific area, region or County in Colorado. To give you an idea, some counties will come out with their own bond programs that allow people to get in for little or no money down. However, these programs also are usually quite limited in the amount of funds that may be available to the potential homebuyers. There is almost always a cap on how much they first-time buyer can make with their income in order to qualify for these programs. Generally they go off of what’s known as the median income amount for the area. So in other words what they try and find is the most and yet least qualified buyers to help them get into a new home. This enables people who sometimes could never qualify for a home, a chance to experience homeownership in Denver Colorado.

Denver First Time Home Buyer Programs Explained!

Other Denver first-time home buyer programs include CHFA; HOAP and CHAQ. CHFA is by far the most popular program in the Denver Colorado area right now for Denver first-time home buyer programs. This is because they always have funds available to potential homeowners and unlike the rest of the first-time home buyer programs, they allow for borrowers to go to hundred percent of the median income. Therefore more people can qualify for the program.

CHFA stands for Colorado Housing Finance Authority and is a nonprofit organization. Think of all these programs as an FHA add-on. In other words if you can qualify for FHA financing then you’re eligible for what I call the FHA add-ons or the assistance with down payments. What CHFA does is they give you a second in the amount of the 3.5% normal FHA down payment and charge you the same interest rate as they do on their first. For example if the charge 5% for the first, then they will charge 5% for the second. Notice that with CHFA the interest rate is always can be about a point higher than if you had the money yourself and just go with a straight FHA financing. That is why some people will seek out a gift from a relative or family member, because it will give them a better rate and term by going with just a straight FHA loan.

HOAP helps first-time homebuyers in Aurora Colorado, by giving them the down payment in the form of a silent second. Unlike CHFA where they have a payment on the second, with HOAP they have no payment-they just need to pay it back when they sell the home. That is also true with CHFA and CHAQ.

CHAQ Jack is a Denver first-time home buyer program for people who just live in Denver Colorado. It is very similar to the HOAP program in that it gives people a silent second for the 3 1/2% down payment required by FHA and sticks to the median income as far as qualifying people.

As you can see, Denver first-time home buyer programs are great for people!

As you can see Denver first-time home buyer programs are great for people trying to get Denver mortgages in Colorado. These programs are very popular were first-time homebuyers because it allows them to achieve homeownership, were sometimes it would be impossible for them to save the down payment and get in on the home themselves. This in turn helps the economy, because when people buy homes they also end up buying big-ticket items like appliances and other home improvement items.

Something that cannot be put into words, is the feeling or pride of home ownership people experience after buying their first homes using Denver first-time home buyer programs!

Denver Mortgage Rates are still at All Time Loans!

Denver mortgage rates are even lower. Because of all the uncertainty in the market and the lack of legislation to make investors feel good, Denver mortgage rates are at all-time lows. This is great if you’re a first-time buyer or even if you’re trying to sell your home in the Denver Metro area. Also, this is great because historically Colorado has always rebounded faster than most places when it comes to the value of your home.

Denver home loans are also now harder to get than ever but if you you do qualify, meaning your steady source of income, fairly good credit (meaning if you have a 620 Co. score better), and have 3.5% to put down towards the purchase of a new home. We still have first-time home buyer programs that allow people to get in for as little as $1000 a month.

Denver Mortgage Rates are Helping you Qualify for More Home!

One of the great advantages of Denver mortgage rates being so low is that you will be able to get more home for your money. Another would you be able to qualify for more home than you thought possible and still stay within your budget. Also, because the abundance of homes out there or inventory as the media calls it. You will find that prices have never been lower to purchase a home in an area that you would find desirable. So think about it, we can not only get a great home, in an area that you love, but it will also be able to meet your budget. So get excited about the low Denver Mortgage Rates.

Low Denver Mortgage Rates Make it Easy to Find the Right Home!

The best way to start looking for homes in Denver, Co is to first get prequalified with a reputable lender. That doesn’t mean so much a company, as it does the loan officer that you be working with. You’re to be looking to him for his experience and knowledge to get you the very best deal on a home mortgage and to lay out all your financing options regarding your Denver mortgage loan-so you get the very best deal possible! The next step is then defined a great Realtor that is usually referred to you by someone you trust Or make sure that you talk to two or three realtors and interview them to find the one you feel most comfortable with. Once you fill comfortable with both your mortgage loan officer and your Realtor you’re ready to go!

So go have fun with the Lower Denver Mortgage Rates!

The number of foreclosure filings rose 3 percent in September, according to foreclosure-tracking firm RealtyTrac. The term “foreclosure filing” is a catch-all word for housing, comprising default notices, scheduled auctions, and bank repossessions.

September marked the 19th straight month that the number of filings topped 300,000, and the first month in which 100,000 repossessions were logged.

As usual, a small number of states dominated the national foreclosure figures, accounting for more than half of all repossessions.

1. California : 17% of all repossessions
2. Florida : 13% of all repossessions
3. Michigan : 7% of all repossessions
4. Arizona : 7% of all repossessions
5. Texas : 5% of all repossessions
6. Georgia : 5% of all repossessions

Thankfully for home sellers, mortgage servicers appear to be metering the pace at these newly bank-owned homes are made available to the public. RealtyTrac notes that, in doing so, servicers prevent “the further erosion of home prices”.

That said, distressed properties still sell at a steep discount.

In the second quarter of 2010, the average sale price of homes in the foreclosure process was 26 percent lower than the average sale price of homes not in the foreclosure process. It’s no surprise, therefore, that, based on RealtyTrac’s preliminary data, 31 percent of all homes sold in September were “distressed”.

There’s lot of good deals out there, in other words, but they come with certain risks.

Buying a foreclosed home is not the same as buying a non-foreclosed home. Specifically, you’re buying from a corporation and not from a “person”. Contracts may vary, and so may terms.

Therefore, Denver home buyers — even experienced ones — should talk with a real estate agent before making an offer. It’s important to understand the foreclosure-buying process.

The Federal Reserve released its September 21, 2010 meeting minutes Tuesday afternoon. Denver Mortgage rates  in Colorado are slightly higher today.

It’s unwelcome news for this season’s home buyers, and existing homeowners with plans to grab lower rates. Mortgage rates made new lows last week and may have reached a turn-around point.

The “Fed Minutes” is published 8 times annually, and is the official meeting recap for the Federal Open Market Committee. Similar to the meeting minutes released after a corporate conference or condo association gathering, the Fed Minutes details the conversation and debate between meeting attendees.

Minutes are the lengthy companion to the Fed’s brief, post-meeting press release.

Because of its content, the Fed Minutes is closely read by Wall Street and economists. It’s insight into the talk that shapes our nation’s monetary policy and, within the text, there’s often clues about the Fed’s next move.

Here’s some of what the Fed discussed last month:

• On inflation : It’s running at lower-than-optimal levels
• On housing : Post-tax credit, housing stalled in July
• On stimulus : The Fed may intervene in open markets within the next few months

The over-riding theme within the minutes was that the U.S. economy is growing a steady pace, albeit slower than what’s optimal. The Fed is prepared to push things along if the economy slows further and news like that is helping stock markets.

Bond markets are losing. Rates are rising.

For now, mortgage rates hover near all-time lows.  If you haven’t locked a mortgage rate yet, your window may be closing.  Once the economy turns around for certain, mortgage rates will be among the first of the casualties.

Denver Mortgage markets improved last week on mixed messages about the economy, and a growing belief that the government will move to stimulate the economy.

Conforming mortgage rates in Colorado eased lower.

According to Freddie Mac’s weekly mortgage market survey, average mortgage rates nationwide fell to new all-time lows last week. On the other side of that point, however, is that the accompanying “points” for today’s low rates have climbed to their highest levels of 2010.

In other words, mortgage rates are down, but closing costs are up.

There were two main stories driving mortgage rates last week. The first was the Federal Reserve.

Although nothing has been said specifically, markets are speculating that the government will add new layers of market support to spark the economy.

The prevailing thought is that — if there’s intervention — the Fed will buy treasuries and mortgage bonds, driving up prices and pushing down yields. Rates dropped last week in anticipation of such a move.

The second factor in falling mortgage rates was Friday’s jobs report.

Economists expected the economy to shed 5,000 jobs in September. Instead, it lost 95,000, anchored by the elimination of temporary census workers and job losses in local governments. The private sector didn’t fare so poorly, adding sixty-four thousand jobs. However, that, too, fell short of expectations.

The results contributed to a mortgage market rally already in-process.

This week, there’s a number of releases that should keep mortgage rates on the move — up and down — including Fed Minutes (Tuesday), Producer Price Index (Thursday), and Consumer Price Index, Retail Sales and a confidence survey (Friday).

Mortgage rates are low and may not stay that way. If you’re floating a mortgage rate, or wondering whether now is the time to lock, talk to you loan officer. Rates are expected be volatile this week.

On the first Friday of each month, the Bureau of Labor Statistics releases its Non-Farm Payrolls report from the month prior.  This month, though, because the first Friday of the month was also the first day of the month, the report was delayed one week.

The report hit the wires at 8:30 AM ET this morning.

More commonly called “the jobs report”, the government’s non-farm payrolls data influences stock and bond markets, and, in the process, swings a big stick with home affordability figures in Denver and nationwide.

Especially in today’s economic climate.

Although the recession has been deemed over, Wall Street remains unconvinced. Data fails to show the economy moving strongly in one direction or the other and, absent job creation, economists believe growth to be illusionary.

Consider:

1. With job creation comes more income, and more spending.
2. With more spending comes growth in business
3. With growth in business comes more job creation

And the cycle continues.

The prevailing thought is that, without jobs, consumer spending can’t sustain and consumer spending accounts for two-thirds of the economy. No job growth, no economy recovery.

But there’s another angle to the jobs report, too; one that connects to the housing market. As the jobs market recovers, today’s renters are more likely to become tomorrow’s homeowners, and today’s homeowners are more likely to “move-up” to bigger homes. This means more competition for homes at all price points and, therefore, higher home values.

And that brings us to today’s jobs data.

According to the government, 95,000 jobs were lost in September. Economists expected a net loss of 5,000.  However, if public sector jobs are excluded from the final figures, jobs grew by 64,000.  This is a positive for the private-sector, but still trailed expectations.

Wall Street is voting with its dollars right now and mortgage bonds are gaining, improving mortgage pricing.

So, although the September 2010 jobs report doesn’t reflect well on the economy overall, home affordability in Colorado and around the country should improve as a result.

Starting Monday, December 13, 2010, Fannie Mae is changing its Denver mortgage lending guidelines.

For some mortgage applicants of Colorado , the loan approval process will simplify. For others, it will toughen. How you’ll be affected personally will depend on your credit profile and your loan characteristics.

Among the biggest changes from Fannie Mae is a new set of guidelines for gift funds. When the new rules roll out, accepting cash gifts for downpayment will be easier.

Undetr the new guidelines, buyers of owner-occupied, 1-unit properties (i.e. single-family homes, condos, townhomes) can forgo Fannie Mae’s typical, minimum 5% personal downpayment contribution. Downpayments on homes meeting the above criteria can be comprised of 100% gifted and/or granted funds.

Buyers of second homes and multi-unit properties, however, are not exempt.

There’s also two changes pending with respect to revolving debt.

1. Debt with less than 10 payments remaining may no longer be waived in debt-to-income ratio calculations
2. Debt lacking a monthly payment on credit must be assigned a payment equal to 5% of the outstanding balance

Both of the above should increase the number of loan denials in 2011.

And, lastly, Fannie Mae changes some of its documentation requirements, the most noticeable of which will be with respect to income verification. Salaried workers and applicants whose commission/bonus accounts for less than a quarter of their income will have fewer paystubs to produce for underwriting.

Loan applications taken prior to December 13, 2010 are exempt from the new rules.

Fannie Mae’s complete guideline changes are available online at http://efanniemae.com.