There is SO much confusion on FICO and how to maintain or get a great credit score. Talk to three bankers and you will get three answers....But I did find a tip that I am confident will help each of us......
How much you owe versus how much credit has been extended to you is the second most important factor in determining your score. FOR EXAMPLE, if you've charged $5,000 on credit cards and have $50,000 in credit, your rate is 10 percent, which they say is "ideal" though you can go up as far as 20 percent and still keep a good score. Once you consistently go over 20 percent, you begin to ding your credit score.
Another important point to follow is when you are looking to purchase a property do NOT have more than three (3) lenders pull your credit report within a 90-day period or your credit scores will go down. If you need to "shop" around for the best rate, quote them the FIRST credit score you had pulled and get their quote.
Thursday, August 27, 2009
Friday, August 21, 2009
Pepco announces that District of Columbia residents now have the opportunity to purchase Compact Fluorescent Light (CFL) bulbs at reduced prices
Washington - Pepco announces that District of Columbia residents now have the opportunity to purchase Compact Fluorescent Light (CFL) bulbs at reduced prices from stores within their community. Pepco has selected Honeywell Utility Solutions as the implementation program manager. They will run the energy efficiency and new environmentally friendly green technologies conservation program for residential customers in the District of Columbia.
This is the initial phase of the energy-efficiency program that Pepco will offer to District of Columbia residential customers. The second phase of the program will offer rebates on selected high energy efficient appliances such as window air conditioners, refrigerators and electric water heaters.
More than 40 hardware, drug and food stores are expected to offer the Pepco discount of $1.50 on select single bulbs and $3 off multi-packs. ??All bulbs are ENERGY STAR qualified.
This program supports President Barack Obama's vision for a new energy economy that will transform the way we use energy, said Thomas Graham, President of the Pepco region.
This program will expand the ability for residents to purchase these light bulbs, which save energy, save money and help save our environment.
The initial participating retailers are The Home Depot and True Value Hardware. ??Additional retailers Rite Aid, ACE Hardware, CVS, Giant Food and Safeway stores are targeted for later this summer. ??Customers can check pepco.com periodically to review the active locations.
Pepco, a subsidiary of Pepco Holdings, Inc. (NYSE: POM), delivers safe, reliable and affordable electric service to more than 750,000 customers in Maryland and the District of Columbia.
Brianne Kruger Nadeau
Commissioner, ANC 1B05
http://www.BrianneKNadeau.com
This is the initial phase of the energy-efficiency program that Pepco will offer to District of Columbia residential customers. The second phase of the program will offer rebates on selected high energy efficient appliances such as window air conditioners, refrigerators and electric water heaters.
More than 40 hardware, drug and food stores are expected to offer the Pepco discount of $1.50 on select single bulbs and $3 off multi-packs. ??All bulbs are ENERGY STAR qualified.
This program supports President Barack Obama's vision for a new energy economy that will transform the way we use energy, said Thomas Graham, President of the Pepco region.
This program will expand the ability for residents to purchase these light bulbs, which save energy, save money and help save our environment.
The initial participating retailers are The Home Depot and True Value Hardware. ??Additional retailers Rite Aid, ACE Hardware, CVS, Giant Food and Safeway stores are targeted for later this summer. ??Customers can check pepco.com periodically to review the active locations.
Pepco, a subsidiary of Pepco Holdings, Inc. (NYSE: POM), delivers safe, reliable and affordable electric service to more than 750,000 customers in Maryland and the District of Columbia.
Brianne Kruger Nadeau
Commissioner, ANC 1B05
http://www.BrianneK
Inclusionary Zoning (IZ) LAW requires developers (10 units+) to offer affordable housing!
***Special thanks to Cheryl Cort (member of Campaign for for Mandatory Inclusionary Zoning) for this information!***
Inclusionary Zoning started on Friday, August 14. Thanks to Councilmember Graham & Chairman Gray for seeing that the administration finally implemented this important affordable housing program.
After years of delay, on Friday, the Fenty Administration issued the last piece of regulations to put in place the Inclusionary Zoning affordable housing program enacted into law in 2006.? This program will require that any development over 10 units offer 8-10% of the units at prices affordable to moderate & low income households.
Special thanks to Councilmember Jim Graham & Chairman Vincent Gray. Without their unwavering commitment to push Mayor Fenty to implement the regulations, this day might have never come. The Council twice passed laws introduced by Graham & Gray setting deadlines for the Mayor to issue the regulations needed to start implementing the Inclusionary Zoning program that Fenty, as a councilmember, had supported.
The 14th & U Utopia project orginally included affordable IZ units, but due to the Fenty administration' s footdragging, the affordable units were eliminated from the project. While the 2 year delay meant we lost well over 100 units of affordable housing - many in the U Street neighborhood, now we can look forward to any sizable project in the future providing mixed income housing opportunities. Once the economy recovers, IZ will provide an important contribution to maintaining the diversity of our communities.
Thanks again to Councilmember Graham, Chairman Gray, and the rest of the Council to holding firm and ensuring that the Fenty administration finally launched this important affordable housing program.
Looking for affordable housing? Check out: www.dchousingsearch .org
Learn more about IZ at: http://dhcd. dc.gov/dhcd/ cwp/view, a,1243,q, 647468.asp
Cheryl Cort
(member of Campaign for for Mandatory Inclusionary Zoning)
Inclusionary Zoning started on Friday, August 14. Thanks to Councilmember Graham & Chairman Gray for seeing that the administration finally implemented this important affordable housing program.
After years of delay, on Friday, the Fenty Administration issued the last piece of regulations to put in place the Inclusionary Zoning affordable housing program enacted into law in 2006.? This program will require that any development over 10 units offer 8-10% of the units at prices affordable to moderate & low income households.
Special thanks to Councilmember Jim Graham & Chairman Vincent Gray. Without their unwavering commitment to push Mayor Fenty to implement the regulations, this day might have never come. The Council twice passed laws introduced by Graham & Gray setting deadlines for the Mayor to issue the regulations needed to start implementing the Inclusionary Zoning program that Fenty, as a councilmember, had supported.
The 14th & U Utopia project orginally included affordable IZ units, but due to the Fenty administration' s footdragging, the affordable units were eliminated from the project. While the 2 year delay meant we lost well over 100 units of affordable housing - many in the U Street neighborhood, now we can look forward to any sizable project in the future providing mixed income housing opportunities. Once the economy recovers, IZ will provide an important contribution to maintaining the diversity of our communities.
Thanks again to Councilmember Graham, Chairman Gray, and the rest of the Council to holding firm and ensuring that the Fenty administration finally launched this important affordable housing program.
Looking for affordable housing? Check out: www.dchousingsearch .org
Learn more about IZ at: http://dhcd. dc.gov/dhcd/ cwp/view, a,1243,q, 647468.asp
Cheryl Cort
(member of Campaign for for Mandatory Inclusionary Zoning)
Saturday, August 15, 2009
Looking Forward in the Mortgage Market -- August 11, 2009
Looking Forward in the Mortgage Market -- August 11, 2009
Courtesy of: Jordan Milne of Chevy Chase Bank, a division of Capital One, N.A.
Just when you thought it was safe to go back in the water, Taylor Bean & Whitaker abruptly ceased operations. It is never good news when the fellows in the windbreakers show up, and this time was no exception. In the words of TBW’s chairman, Lee Farkas, “It’s the saddest day of my life.”
| Market | Close | Wk Chg |
| 30-Yr Agency Note Rate | 5.57% | +0.24% |
| 30-Yr Mortgage Yield | 4.67% | +0.29% |
| Note Rate vs. MBS Yield | 0.90% | -0.05% |
| Mortgage-Treasury | 1.90% | -0.05% |
| 10-Yr Treasury | 3.86% | +0.38% |
| 2-Yr Treasury | 1.32% | +0.20% |
| 10yr- to-2yr Spread | 2.54% | +0.17% |
| Fed Funds | 0.19% | 0.00% |
| Fed (Aug ‘09) | 0.24% | +0.03% |
| Fed (Feb ’10) | 0.81% | +0.20% |
| Dow Industrials | 9,370 | +198 |
TBW, ranked 12th in national origination volume, left at least 600 banks and many independent mortgage companies wondering what to do with their loan locks, and many very qualified mortgage bankers wondering what happened to their jobs. TBW was leading an effort to raise $300 million of private equity to shore up Colonial Bank. That deal fell apart too. Rumors are swirling about the viability of Colonial, a bank that provides 20% of the mortgage industry’s warehouse lines.
The TBW news is a blow to a mortgage industry already struggling with higher interest rates. Friday’s could-have-been-worse jobs report sent Treasury yields to their highs of the year. Futures are pricing in a Fed rate increase by the end of the year. Though the economy could still stumble – where is the real growth going to come from – rates could push higher this week. The market is coming to grips with an economy that is no longer on the ropes. In the months ahead, it is likely that mortgage rates will be range-bound, pushing towards 6.00% when the economic news is good, and falling back to 5.00% when the news is bad.
There are some green shoots in the housing business. Home prices posted their first month-to-month rise in three years. Origination profits are pushing towards 1.00% in yield, after hitting a post-refi low of 0.75%. Mortgage rates are near 5.50% – not a great level, but pretty good nonetheless. Rates owe much of their recent decline to further compression in the mortgage-Treasury yield spread. At 1.90%, the spread is near the year’s lows, and down considerably from 2.25% some weeks ago.
The economy shrank just 1% last quarter. The recession, now in its 19th month, has been the most severe since quarterly numbers were first published in 1947. But it is probably over. Recent reports suggest that GDP will expand an annualized 3% this quarter.
News that the economy’s decline is decelerating helped send stocks higher for a fourth straight week. Stocks had their best July in 12 years, with the S&P 500 up 7.4%. Stocks just had their best five-month run since 1938 – up nearly 50%; the S&P 500 is 19% below levels set before Lehman Brothers' collapse last September. Barron’s, however, warns of a 760x P/E ratio (based on reported earnings), and of a huge rally while two million jobs evaporated. The paper exclaims “that the marginal buyer of equities today may well be the same person who was loading up on real estate during the summer of '06."
You know it’s a bad day when people like the IRS more than you. Such is the case for Ben Bernanke. Americans currently rate the Federal Reserve lowest of any government agency, even below the IRS. In a recent Gallup poll, only 30% said the nation's central bank was doing an excellent or good job, trailing the IRS at 40%. Top marks went to the Centers for Disease Control with 61%, followed by a tie between NASA and the FBI at 58%.
Thanks for your business and have a good week. – Jordan Milne
Thank You,
Jordan Milne
Jordan T. Milne
Senior Mortgage Loan Officer
Chevy Chase Bank, a division of Capital One, N.A.
New FHA Guidelines Could Change the Condo Market Forever!!!!
WOW....my vacation to Brazil was SUPER!!!! So here are a few posts to catch up for when I was away....this is from my friend, Gregg Busch, at First Savings......
McLean, VA 22102
AGENTS AND PROSPECTIVE BUYERS BEWARE!!!!! URGENT NEWS!!!!!!
You need to pay attention to some recent changes HUD (Department of Urban Housing and Development) is making that affects condominiums.
In the past, you only needed to satisfy one of the following two criteria?s to finance a condo unit using FHA financing.
1.) The Condo Project has a FHA warranty
- This requires the Homeowners Association of the condominium project to apply and receive a warranty on the project from the HUD.
2.) The unit must pass a questionnaire called a ?Spot Check? done on an individual basis
HUD recently released an announcement that they will be changing the guidelines which includes the removal of ?Spot Check? approvals which means you will only be able to get a FHA loan on a condo if the project has a warranty. (Mortgage Letter 2009-19).
FHA loans now represent more than 25% of all home purchases. If you are selling a condo in a complex that does not have a FHA warranty, you are eliminating 25% of the buyers today. As our current real estate market has shown that when the ability to obtain financing for a property becomes more difficult, values drop.
WHAT THIS MEANS TO YOU IF YOU?RE A CONDO BUYER
Whether you?re looking to buy using FHA financing or not, this should still affect your buying decision. You don?t want to buy a property that will be more difficult sell down the road. If you find a condo that does not have a FHA warranty and you really want to buy it, know that October 1st is the date the new guidelines go in affect. Also, many lenders will adopt this policy prior to this date, so be sure to check your lender. If you do buy using the ?Spot Check? approval now, I would recommend you actively speak to the homeowners association about making the property FHA warrantable immediately after you close on your purchase.
WHAT THIS MEANS TO YOU IF YOU?RE A CONDO OWNER
Check immediately to see if your condo has a FHA warranty. If it has a FHA warranty, you?re good! If it is not a FHA warrantable complex, speak to the Homeowners Association immediately about getting the complex FHA warrantable. The key is to get your complex a FHA warranty PRIOR to the October 1st date. Keep in mind that the turn times to get a warranty will be based highly on the amount of submissions HUD receives. Everybody will likely
FHA received a wave of applications and submissions. Try to be ahead of the curve.
IS THIS THE ONLY NEW CHANGE?
I?m happy to say that even though this change could potentially be extremely damaging to condo values, there are some positive changes on the 2009-19 HUD letter.
1.) Direct Endorsement Lenders can approve a project (First Savings Mortgage is a direct endorsement lender)!!!!!
a. This means that a FHA lender can actually do the warranty process for HUD. This is great if your lender is a DE (Direct Endorsement) lender as they can approve the entire project then provide you the financing to close
2.) Site Condominiums will not require a Condominium Project approval
a. Site Condos are single family detached dwellings. These will be looked at almost identically like a standard Single Family Residence to the FHA lender.
3.) Refinancing a condo that?s not warrantable that already has a FHA loan does not require a warranty when refinanced to another FHA lender
4.) No Project Approval is needed for buying a HUD foreclosure condo
What does this mean to existing projects that have FHA approvals currently and the Warranty Insurance?
Projects consisting of three or less units will have no more than 1 encumbered with FHA insurance.
Projects consisting of four or more units will have no more than 30 % of the total units encumbered with FHA insurance.
Please call me with questions. Get your buyers familiar with the changes and closed before the 30th of September if they are buying an FHA condo and before Nov. 30th if they want the $8000 first time home buyers credit.
Gregg Busch
Vice President
First Savings Mortgage Corporation
Direct Line - (703) 883-9580
Fax - (703) 564-4685
Cell - (202) 256-7777
E-mail - gbusch@firstsavings.com
McLean, VA 22102
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