The number of Americans defaulting on their mortgages has steadily been declining, according to February data out this week for the Standard & Poor’s/Experian Consumer Credit Default Indices.
First mortgages in default were down 14% in February compared to a month earlier, and down 42% compared to a year earlier. Second mortgages in default were down 3% compared to January and 52% compared to a year earlier.
Similar declines were seen in bank card and auto loan defaults.
“Default rates continue to fall across all major categories and year-over-year across the five highlighted cities,” said Craig Feldman, director at S&P Indices. “The overall trend lasted a number of months now, reflecting improved consumer health and the appearance of a continued economic recovery.”
But another study out recently by Core Logic showed 23% of U.S. homes were in negative equity at the end of 2010.
Rick Moran, AMP, OMB # M08001997
Saturday, March 19, 2011
Canada Drops Mortgage Rates as Global Instability Causes Concern
Global instability, highlighted by turmoil in Libya and Japan, has caused Canadian banks to drop their mortgage rates.
Just as changes to mortgage rules coming into effect Friday were likely to make borrowing for a new home more difficult, the latest drop in interest rates has helped potential new borrowers in the short term find a more affordable price.
The Mortgage Lenders across the Board, slashed its rates on various fixed rate mortgages.
After heightened confidence led to mortgage rate increases last month, banks are now following the cue of declining bond rates, according to the Globe and Mail.
For the RBC, the country’s largest bank, its residential mortgage four-year special fixed rate for closed mortgages was reduced 0.15% to a rate of 4.19%.
The Mortgage Broker Community currently has 5 year fixed rates at 3.79% and Variable Rate Mortgages at 2.15%
Rick Moran, AMP, OMB # M08001997
phone: (905) 824-3210
Just as changes to mortgage rules coming into effect Friday were likely to make borrowing for a new home more difficult, the latest drop in interest rates has helped potential new borrowers in the short term find a more affordable price.
The Mortgage Lenders across the Board, slashed its rates on various fixed rate mortgages.
After heightened confidence led to mortgage rate increases last month, banks are now following the cue of declining bond rates, according to the Globe and Mail.
For the RBC, the country’s largest bank, its residential mortgage four-year special fixed rate for closed mortgages was reduced 0.15% to a rate of 4.19%.
The Mortgage Broker Community currently has 5 year fixed rates at 3.79% and Variable Rate Mortgages at 2.15%
Rick Moran, AMP, OMB # M08001997
phone: (905) 824-3210
Tuesday, March 15, 2011
Time to Make a Plan - Spring is Right Around the Corner
This is the absolute best time to begin to plan your Springtime Renovations, be it the Interior or the Exterior of your home.
There is nothing more gratifying than the feeling of pulling in to your driveway looking at the awesome updates that make your house look next to brand new.
Currently, by speaking to your qualified Mortgage Professional, you will discover that by taking advantage of the equity in your home for Home Improvement purposes is more affordable than you have ever considered.
The Variable Rate Mortgage today enjoys an interest rate of 2.25%, while if you would rather fix the rate, a 5 year term is as low as 3.89%.
The CMHC Mortgage and Real Estate Report has been very clear about the most profitable areas of your home to renovate and enjoy the maximum increase in the value of your home. Kitchens and Bathrooms are the number one most popular reno, and that will in most cases increase the value by what you spend.
It is also a great time of the year to have a good look at the condition of your roof, windows and air conditioner. These are all expensive upgrades that will immediately qualify for you to take equity out of your home and refinance the mortgage.
Many clients of ours have also chosen to upgrade the Landscaping, interlocking walkways, patios or decks.
Remember the most important thing is that you enjoy the fruits of your labour. Capitalize on your equity and reap the benefits today – you can’t take it with you.
Rick Moran, AMP, OMB # M08001997
There is nothing more gratifying than the feeling of pulling in to your driveway looking at the awesome updates that make your house look next to brand new.
Currently, by speaking to your qualified Mortgage Professional, you will discover that by taking advantage of the equity in your home for Home Improvement purposes is more affordable than you have ever considered.
The Variable Rate Mortgage today enjoys an interest rate of 2.25%, while if you would rather fix the rate, a 5 year term is as low as 3.89%.
The CMHC Mortgage and Real Estate Report has been very clear about the most profitable areas of your home to renovate and enjoy the maximum increase in the value of your home. Kitchens and Bathrooms are the number one most popular reno, and that will in most cases increase the value by what you spend.
It is also a great time of the year to have a good look at the condition of your roof, windows and air conditioner. These are all expensive upgrades that will immediately qualify for you to take equity out of your home and refinance the mortgage.
Many clients of ours have also chosen to upgrade the Landscaping, interlocking walkways, patios or decks.
Remember the most important thing is that you enjoy the fruits of your labour. Capitalize on your equity and reap the benefits today – you can’t take it with you.
Rick Moran, AMP, OMB # M08001997
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