ALERT! USDA to issue conditional commitments once funds are exhausted!! No break in funding!

May 11, 2010

Today USDA announced that they WILL issue conditional commitments on USDA loans once funds are exhausted.  This  is a turn around from their previous stance and allows current USDA loans to close and fund before Congress passes the new legislation.  However, there are a few changes to the normal guarantee fee.  See below:

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The “PIIGS” are in Play…What do they have to do with interest rates?

May 10, 2010

The Fed program to buy mortgage-backed securities was put into place in December 2008 in an effort to stimulate home-buying and refinancing.  By becoming the major purchaser of MBSs (mortgage-backed securities) the Fed purposefully created demand for these securities when there was none.  By increasing the demand on MBSs they drove up their price, which [...]

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“BREAKING NEWS – Leasing is ON FIRE! – Particularly in the Suburbs! ”

April 30, 2010

All, we’ve noticed that something is happening in the residential leasing market. It has gotten EXTREMELY competitive among tenants and with a surprising twist – the hottest areas are the suburbs. Take a look at this data set and attached map. These are listed generally as we move from the northern bedroom communities heading closer [...]

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TDHCA Bond 77 -Just in time to fill the void that the homebuyer tax credit will be leaving…

April 28, 2010

On May 3 the TDHCA will roll out a new bond program to assist buyers with their down payment when purchasing a home.  “Bond 77″  is its largest allotment to date and is purported to be $500 million in funds.  This program will be released just in time to fill the void left behind by [...]

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USDA Funding bill passes in committee!

April 22, 2010

April 22, 2010 KANJORSKI BILL PRESERVING AFFORDABLE MORTGAGES IN AMERICA’S HEARTLAND PASSES IN COMMITTEE Without Congressional Action, USDA 502 Rural Housing Program Will Run Out of Funding Within Days

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Newest Information on USDA -House Committee to Mark Up Sec. 502 Guarantee Bill and Others

April 21, 2010

On Thursday, April 22, 2010 the House of Representatives’ Financial Services Committee will consider several housing-related bills, including H.R. 5017, a bill introduced on April 14 that would make additional funding available for the Section 502 guaranteed mortgage loan program in Fiscal Year 2010.  The mark-up will be broadcast live online via the Committee’s website [...]

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Update on USDA Funding

April 16, 2010

More good news to report today on USDA home loans.  The democrats have presented H.R. bill 5017 to the House Financial Services subcommittee.  Now there are two bills- H.R. 5003 (introduced by the republicans) and H.R. 5017 (introduced by the democrats).  We now enter the “mark up” stage where the members of the subcommittee work [...]

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Pending Home Sales for the Austin Area are on Fire!

April 13, 2010

Looks like pending homes sales for the Austin area are heating up ahead of the Tax credit contract deadline (must have house under contract by April 30th). This chart shows months of inventory based on pending home sales and active listings. This is a more forward looking view as opposed to months of inventory using [...]

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USDA in Jeopardy!

March 16, 2010

It has recently been announced that the USDA loan program will be out of money by the end of April 2010. In any typical year the USDA loan program has plenty of funds to make loans through the end of the year. Over the last few years as other “0″ down loan programs have disappeared, USDA [...]

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Two predictions for future mortgage rate movement—is it time to “rip the band-aid” off?

February 18, 2010

I have been talking a great deal lately about the Fed’s exit from its program of buying mortgage-backed securities (MBS).  Over the last 13 months the Fed has spent more than one trillion dollars—that’s $1,000,000,000,000.00—to buy these securities in order to drive up their price, thereby artificially keeping interest rates low.  This program has succeeded [...]

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