LOAN PROGRAM NEWS

Has the value of your home dropped since you bought or last refinanced? Is the mortgage owned by Fannie Mae or Freddie Mac?

Here are the lookup links to see if your loan is owned by one of them. It matters not who is your servicing lender (who you pay).

http://www.fanniemae.com/loanlookup/

https://ww3.freddiemac.com/corporate/not_fm_owned.html

Or, call or email me and I will look it up for you. If your loan is owned by one of them, because of HARP you may be eligible to get a refinance loan that does not depend on the appraised value being as high as before. That applies to owner-occupied, and we can now do investment (rental property) with different guidelines. Second mortgages and HELOCs may be kept and re-subordinated.

Another new wrinkle to HARP is that appraisals will be automated beginning some time in March. Physical appraisals will not be required, but the value will be established when I run automated underwriting. Call me with your questions.

RESEARCH AND PREDICTIONS

The Mortgage Bankers Association forecast has some interesting numbers, and one that sticks out is that refinances are predicted to decline in this year and 2013, while purchase money loans are expected to be about even with 2011 this year but will more than double the number of refis in 2013. Reading the tea leaves, that is an improving outlook for sales and a signal that low interest rates will be losing their impact on refinances. Rates are expected to increase---how could they go anywhere else from this extreme low?---but not dramatically.

STOCK AND BOND MARKETS

"As goes January, so goes the year" is one piece of Wall Street lore. If that proves true this year, stocks are on a bullish path. Major stock indexes have risen every week this month. The Dow average of 30 large-cap stocks closed the third week of January at 12,720; S&P 500 at 1,315 and Nasdaq closed at 2,786. The 10-year Treasury closed yielding 2.03% which was above last week's closing yield of 1.85%. Mortgage rates usually move in correlation with the 10-year, and that was true this week just ended as rates edged up slightly. Whenever the 10-year yield has dropped under 2.0%, mortgage rates have dipped to the extreme lows of this trough. It has stayed below 2.0% for only brief periods, however.

BIZ NEWS

U.S. Senate and House committees said they were dropping bills that would open the door to Internet censorship and hamper the ability of small and startup businesses to grow via the Internet. The bills were advertised as making a hit on online piracy of copyrighted materials---no one is against that---but the bills in fact were drawn up by the movie industry association's lobbyists with only their interests considered.

After Google, Wikipedia and other web giants went dark in protest for 24 hours on Wednesday, and after millions of Americans voiced their disapproval to members of Congress, SOPA and PIPA were pulled back. The Internet has been the innovation of our time, giving wide and equal access to seekers and publishers of information while being our most dynamic force for economic growth. New media 1, old media 0 on this one.

Call me to get pre-approved for a purchase or to run a refinance analysis to weigh your options. Nothing ventured, nothing gained. Gary Moore 615-579-8658

30-Year Conventional Fixed

4.0% $100,000-$417,000


5/1 ARM

3.0% $100,000-$417,000

15-Year Conventional Fixed

3.375% $100,000-$417,000


30-Year FHA-100% VA

3.875% $100,000-$393,300


30-Year Jumbo Fixed

4.75% $417,001-$1,500,000

(Interest-only available-Call me)

Rural Development 100%

3.875% $100,000-$417,000

THDA Great Start 100% with Gift

4.55% $100,000-$393,300

4% of loan amount Gift

Call for free pre-approval and to discover

the best financing for you!

...by Gary Moore

Mortgage Planner, First Community Mortgage

...a subsidiary of First Community Bank

Cell: 615-579-8658 Toll-free fax: 866-321-6513

Quote of the Day

"Some cause happiness wherever they go; others whenever they go." ---Oscar Wilde

Visit my mortgage website:
http://www.BrentwoodHomeLoan.com

National Mortgage Licensing System #186007

Market Update informs consumers and Realtors on market trends, offers subjective opinions, does not express APR and is not a quote for a unique borrower.