The New Mortgage Revolution: Walk Away

Interesting article from HousingWatch.com, written by Alyssa Katz Januray 25, 2010:

Big real estate developers do it all the time - like yesterday, when the owner of New York City's Stuyvesant Town complex decided to stop paying its $3 billion mortgage. So why are you still writing a check every month on that mortgage that's much bigger than your home is actually worth?

Good question, University of Chicago economist Richard Thaler says.

Major Changes to FHA Mortgage Guidelines are Good for Buyers

Federal Housing Administration (FHA) loans have filled in the gap for mortgage purchasers who have less than stellar credit.  Without FHA mortgages the real estate market would be losing value at a much faster rate than currently.

In October 2009, FHA announced that its capital reserve fund had fallen below the congressionally mandated level of 2 %.  The drop in capital reserves has lead Congress and the Administration to call for changes to strengthen FHA.

On January 20, 2010, FHA announced major changes to ensure its long-term financial soundness.

Parks Morgan Selected to Serve the Public and His Peers

Most people are not aware that real estate salespeople who are REALTORS are governed by a strict code of ethics. Unfortunately, as in all fields, not every REALTOR acts ethically.  However, the public has recourse beyond courts of law.  The REALTOR Code of Ethics.  Violations of the code can be reported to your local REALTOR board where the complaint is taken very seriously.  Through investigation, interview and review of a committee of peers the REALTOR in question may be fined or even expelled from the Board.

Modified loan on home can hurt!

The last thing many troubled homeowners want to hear is that they could be denied a car loan after they get a chance to modify their home loan.But credit scores can get dinged after a home loan modification, making it more costly or tougher to get a loan or credit card.