Although conforming limits have been raised (in theory)
there are NO loan programs available yet. Perhaps mid March, and as of now they will only be valid until 12-31-08
The “system” desperately needs to book some profits.
There are already billions in losses, and much more to come. The system is broken, and NOBODY knows where to get the parts to fix it.
I don’t know exactly what is going on, but see that the spreads are increasing.
Banks are talking about bailing out insurers, cuz if they don’t we will see that they are all insolvent. Better to cough up $500 million to keep them all afloat awhile longer instead of allowing the $10 Billion scam to be exposed.
Every amateur thinks that they can predict long term mortgage rates, but I can’t tell you what they will be tomorrow.
All the websites, all the averages, and internet quotes, it’s all CRAP. It depends what somebody actually qualifies for, and most people don’t understand that.
Most people who shop by rate get screwed. Rates change constantly, but people don’t see it.
On January 22nd, 30 YR fixed PAR rate was 5.25%. On Jan 23 it was down below 5% for about an hour and closed that day at 5.375%…It tested 5.25% again, and has gone straight up from there to around 6% now.
The no cost loans, the no fee loans, and the average rates do nothing more than fool people, who don’t understand the difference. (Many “no fee” loans still have costs)
The industry is still full of scum, misleading and overcharging borrowers in rate and fee, and not explaining the products, because they don’t understand it themselves.
I think that when the “new” conforming rates (NCR) finally kick in, people may be sorry that they waited, and find out that they don’t qualify anyway.
It’s only going to make borrowing cheaper for many people who qualified at higher rates.
The house of cards is collapsing. The powers are getting VERY desperate. The talk of “negative equity certificates”
is beyond rational.
