Ascent Home Loans

Greece is going bankrupt! Spain. Portugal, Ireland and several other countries are on verge of defaulting! The growth in the world’s economies is either at a stand still or moving into negative territory!

Over the past month we have all heard the above statements from the experts in print and also the financial news networks. Take a look at our own stock market which has dropped from it’s intra-day high on 4/26 of 11,308 to an intra-day low of 9756 on 5/26. That’s a move of 1552 points in a one month period. Why? Because we are all now part of the world economy. As much as these so called financial experts expound on how the US can decouple itself from these fledgling countries we cannot. As an example, take one of our own homegrown company’s Mc Donald’s. McDonald’s gets 40% of it’s revenues from other countries. The list of American companies depending on 40%- 60% of their total revenues coming from foreign economies is quite substantial.

Yes, but so what does all that have to do with me or mortgage rates you might ask? Well very simply the above situation is causing fear within the world’s financial markets. Fear of no growth,default, high unemployment and uncontrollable debt.  All this fear creates flight; meaning  pulling money out of stocks and putting it into bonds. The upside to all this money flowing into bonds is that it also lowers interest rates. That is why the faltering world economies is currently giving you the opportunity to refinance your current higher mortgage rate to a lower rate at around  4 5/8% or 4 3/4%. That could mean quite the monthly savings depending on your current interest rate. Let’s say you purchased your home at $400,000, put 20% down and had a mortgage balance of $320,000  If your current rate was 5 1/2%, then your monthly mortgage payment would be $1816. Refinancing at a lower rate of 4 5/8 would bring your monthly payment down to $1645 saving you $171 a month or $2052 a year.

The one thing to remember if you are thinking about refinancing is that this opportunity will only give you a short window of opportunity. It will only take a few quick and precise moves by the European central banks to give the false impression that everything is now on track once again. If they succeed at this, then money will once again begin to flow into the world stock markets and out of bonds thus raising interest rates.

Call today for a free quote today and see how much you can save.

What? Haven’t you heard that the housing slump is over with? You must be seeing the same news reports I am? News reporters expounding that both the new and pending home sales are up. Come on everybody let’s jump in now before it is too late! For the past few months that’s all the news Read the rest of this entry »

I’m sure many of you have heard over the past few weeks, or maybe even saw some of the advertisements touting that FHA will now allow First-time Home buyers to use the stimulus packages $8000 tax credit as a down payment for Read the rest of this entry »

Many potential borrowers have been hearing encouraging news lately in regards to the real estate market. In fact, today the numbers were released for construction spending and pending home sales showing Read the rest of this entry »

For many borrowers it has been a long and hard road over the past months to try to refinance their homes. Credit has been tight, mortgage companies are making it Read the rest of this entry »

“Seize the day, and put the least possible trust in tomorrow.”

Horace quotes (Ancient Roman Poet. 65 BC)

The above words were never more true in today’s mortgage climate. As I mentioned in my previous blog, “Refinance and Purchase Why Not Wait?”, I explained why it was not wise to wait to Read the rest of this entry »

Every month the mortgage industry and also the federal government report on whether mortgage applications have increased or decreased. Since the government has started purchasing loans, interest rates have fallen Read the rest of this entry »

Many of you may remember when the Fed issued the statement that they would be taking over Fannie Mae and Freddie Mac that interest rates dropped 5/8 to 3/4 of a point overnight.  That had been a drop Read the rest of this entry »

Everyday one can’t pass a TV or newspaper stand without seeing a story on the spiraling economy, home prices, or employees losing their jobs. You hear it on the radio, standing in line for a coffee and even Read the rest of this entry »

Over the past year, there have been numerous failures in the banking and lending industries. Even the government tried with it’s own feeble attempts to Read the rest of this entry »