Massachusetts Home Buyer Guide

U.S. House Passes Legislation To Help Homeowners

The U.S. House of Representatives easily passed legislation today aimed at helping about 400,000 homeowners avoid foreclosure and preventing the possible collapse of troubled mortgage companies Fannie Mae and Freddie Mac, the Associated Press (AP) reported.

Hours before the vote, President Bush dropped his opposition to the measure, which now is on track to pass the Senate and become law within days. President Bush reportedly did not want the $3.9 billion in grants for neighborhoods struggling to deal with foreclosures.

The U.S. Senate is expected to quickly pass the legislation without change, according to the AP.

"The bill would let the Federal Housing Administration back $300 billion in new loans so an estimated 400,000 homeowners who cannot afford their house payments could try to escape foreclosure by refinancing into safer, more affordable mortgages. Lenders would have to agree to take a substantial loss on the existing loans, and in return, they would walk away with at least some payoff and avoid the often-costly foreclosure process."

Read The AP Article.

Mortgage Applications Decline 8.8 Percent

After rising sharply the previous week, U.S. mortgage applications declined 8.8 percent last week, Bloomberg reported June 18, 2008.

The data comes from the Mortgage Bankers Association.

Purchase applications dropped 4.4 percent and refinance applications decreased 15 percent.

Read The Bloomberg Article

Mortgage Rates Increase

While many buyers stayed on the sidelines this year waiting for home prices to fall further, mortgage interest rates have risen from well below 6 percent earlier this year to 6.32 percent last week for 30-year, fixed rate loans, USA Today reported June 12, 2008

The data comes from Freddie Mac.  It was the highest rate for 30-year, fixed-rate mortgage loans since they averaged 6.33 percent for the week of October 25, 2007.

Smart buyers will get pre approved immediately and be ready to move on a the right property for the rest of the year.

Read The USAToday Article

Mortgage Applications Rise 10.9 Percent

U.S. mortgage applications rose 10.9 percent compared to the previous week, CNN Money reported June 11, 2008.

Refinance applications increased 8.4 percent, and purchase applications jumped 12.8 percent. Refinance applications accounted for 39.8 percent of total applications.

The data comes from the Mortgage Bankers Association.

Read The CNN Money Article

Mortgage Applications Decline 15.3 Percent

The number of U.S. mortgage applications declined for the third straight week, Reuters reported June 4, 2008.

Applications dropped 15.3 percent compared to the previous week.

Read The Reuters Article

Mortgage Interest Rates Up

Average rates for 30-year, fixed-rate mortgage loans in the U.S. increased to 6.08 percent, up from 5.98 percent the previous week, United Press International (UPI) reported May 29, 2008.

A year ago, the same loan stood at 6.42 percent.

The 15-year loan rose to 5.66 percent, an increase from 5.55 percent the previous week.

Freddie Mac provided the mortgage data.

Read The UPI Article

Mortgage Applications Decline 4.6 Percent

U.S. mortgage applications declined 4.6 percent compared to the previous week, the Associated Press (AP) reported May 28, 2008.

Refinance applications declined 8.9 percent. Purchase applications rose 0.1 percent.

Read The AP Article

Mortgage Interest Rates Move A Little

The average rate for a 30-year, fixed-rate mortgage loan in the U.S. nudged lower, from 6.06 percent to 6.05 percent, United Press International (UPI) reported May 8, 2008.

Despite all the talk about interest rates moving higher, the current average for the 30-year rate is below the 6.21 percent from the same time last year.

The 15-year note remained increased slightly, moving from 5.59 percent to 5.60 percent.

Read The UPI Article

Mortgage Applications Decline Again

U.S. mortgage applications declined 11.1 percent compared to the previous week, the second straight week applications fell, USA Today reported May 7, 2008.

"The Mortgage Bankers Association said its seasonally adjusted index of mortgage application activity dropped 11.1% to 567.0 in the week ended April 25, lowest since the week ending Dec. 28."

Refinance applications declined 16.7 percent. Purchase applications fell just 4.8 percent.

Read The USA Today Article

Federal Funds Rate Cut Quarter Point

The Federal Reserve cut its key rate, the federal funds rate, by a quarter point April 30, 2008.

At 2 percent, the rate is at its lowest point since December 2004. The rate cut was the seventh reduction in a campaign that has brought rates down by 3.25 percentage points since September 2007.

The hope in the real estate industry is that financial institutions will now be more willing to lend money to consumers.

Mortgage Interest Rates Rise Again

Average rates in the U.S. for 30-year, fixed-rate mortgage loans increased to 6.06 percent from 6.03 percent the previous week, United Press International (UPI) reported May 1, 2008.

A year ago, the same loan averaged 6.16 percent.

The 15-year loan's average rate declined from 5.62 percent to 5.59 percent.

Read The UPI Article

Mortgage Applications Drop

U.S. mortgage applications declined 11.1 percent compared to the previous week and reached a yearly low, USA Today reported April 30, 2008.

The Data comes from the Mortgage Bankers Association.

Refinance applications fell 16.7 percent while purchase applications dropped 4.8 percent.

Read The USA Today Article

Case-Shiller Shows 4.6% Boston Price Decline

The S&P/Case-Shiller index reported a 4.6 percent decline in February home prices in the Boston area compared to February 2007, The Boston Globe reported on its real estate blog April 29, 2008.

"Case-Shiller lags the reports from [The] Warren Group and the Massachusetts Association of Realtors, both of which released March data yesterday. But Case-Shiller is more reliable because it is based on repeat sales of the same homes, eliminating any bias caused by a change in the kinds of homes that are selling."

It is the 23rd straight month of year-over-year declines in the index, which has now dropped 12 percent from its peak in September 2005, according to the blog post.

Click here for more data from the S&P/Case-Shiller Index.

Read The Boston Real Estate Now Blog Post

Mortgage Interest Rates Rise Above 6 Percent

For the first time in six weeks, average rates for 30-year, fixed-rate mortgage loans in the U.S. rose above 6 percent, CNN Money reported April 24, 2008.

Average rates, according to Freddie Mac, stood at 6.03 percent, up from 5.88 percent the previous week. Rates for 15-year notes rose to 5.62 percent, up from 5.40 percent.

Read The CNN Money Article

Mortgage Applications Plunge

U.S. mortgage applications plunged 14.2 percent compared to the previous week, Reuters reported April 23, 2008.

The data comes from the Mortgage Bankers Association.

The number of applications for home purchases fell 6.4 while refinance applications dropped 20.2 percent. The drop in applications coincided with a rise in mortgage interest rates.

Read The Reuters Article