Mortgage Rates Are Down In August While Foreclosures Are Up
It Is Still Most Definitely a Buyer’s Market in the Real Estate Industry
by Michael Reubelt on September 16, 2011
Mortgage rates hit a record low in August after financial concerns both home and abroad continued to affect calculations. A 30-year fixed-rate mortgage has dropped to its lowest rate in 60 years. This news comes at the same time that new reports found that foreclosure filings increased in the same month by 7 percent. Taken together, it is a great time to buy a home, though it may not be the best time to own one.
According to mortgage provider Freddie Mac, 30-year fixed-rate mortgage dropped to 4.09 percent. 15-year mortgages also fell down to 3.3 percent. Frank Nothaft, chief economist at Freddie Mac said, “Continued investor concerns over the state of the European debt markets kept U.S. Treasury bond yields low and allowed mortgage rates to ease once more this week.”
While the rate has reached a new low, it may continue to drop despite the unlikelihood a breaking the record again. “It would be hard to continue to forecast record lows week after week,” said Keith Gumbinger of HSH Associates. “But there is some expectation that the Federal Reserve will pull something out of its hat next week to make interest rates go down.”
In August, 228,098 homes received foreclosure filings according to online foreclosure marketer RealtyTrac. Default notices also went up in that time period by more than 33 percent. The foreclosure filings come as no surprise, but the significant raise in defaults may be a sign of more bad news. As a result of the “robo-signing” scandal of 2010, many banks ceased paperwork processing for a time. It appears that that time has passed as the foreclosures waiting in the wings are finally addressed.
According to RealtyTrac CEO James Saccacio, “It also foreshadows more bank repossessions in the coming months as these new foreclosures make their way through the process.”
Nevada, Arizona, and California are still the states hardest hit by foreclosures.
Nevada has had the highest foreclosure rate for the past four years. In August, one out of every 118 homes in the state received foreclosure notices. California comes after that with one out of 226 houses and Arizona in a close third with one in every 248 homes receiving an August foreclosure filing.
While the year of 2011 has been expected to be a dark one for the housing market, it remains to be seen just how gloomy it will be by December.
Dedicated to protecting consumer privacy and furthering consumer education since 1997, CashAdvance.com ensures the most convenient, reliable and hassle-free payday loan experience possible.
Most Popular Articles
-
Personal FinanceYou’ve Made a Mistake on Your Taxes! Now What?by Curtis White on March 20, 2012
-
EmploymentLos Angeles Unified School District Votes to Layoff Thousandsby Branford Lyles on March 14, 2012
-
TechnologyNew iPad Arrives Today With Familiar Optionsby Lee Avery on March 16, 2012
-
BusinessCisco Systems Buys NDS Groupby Jennifer Case on March 15, 2012
Connect with Us!
© 2012 CashAdvance.com All Rights Reserved.
CashAdvance.com is Hawk, LLC, which is a limited liability company chartered pursuant to the laws of the Ute Indian Tribe and is wholly owned by enrolled members of the Ute Indian Tribe. By your use of this website you consent to the laws and jurisdiction of the Ute Indian Tribe as it relates directly or indirectly to your use of this website.
Consumer Notice: A cash advance, also referred to as a payday loan or payday advance, is a small, short-term loan that is intended to cover a borrower's expenses until the following payday. Cash advances are intended for short-term financial relief and do not constitute long-term financial solutions. Consumers facing debt and credit difficulties should seek out debt and credit advisory help. Consumers are encouraged to consult our State Consumer Resource pages to learn more about the risks involved with cash advances, local laws and regulations that may be applicable to cash advances, possible loan alternatives and recent developments in their state.
Legal Disclaimer: This website does not constitute an offer or solicitation to lend. CashAdvance.com is not a lender, does not broker loans, and does not make loan or credit decisions. The operator of this Web Site is not an agent, representative or broker of any lender and does not endorse or charge you for any service or product. CashAdvance.com provides a service only and is not acting as a representative, agent, or correspondent for any service provider or lender. CashAdvance.com's aim is to inform users of possible lenders who may be able to satisfy the needs of a particular consumer. CashAdvance.com does not endorse any particular service provider, lender, nor loan product. You are under no obligation to use CashAdvance.com's service to initiate contact, nor apply for credit or any loan product with any service provider or lender. Service providers or lenders will typically not perform credit checks with the three major credit reporting bureaus: Experian, Equifax, or Trans Union. However, credit checks or consumer reports through alternative providers such as Teletrack or DP Bureau, which typically will not affect your credit score, may be obtained by some service providers or lenders, in certain circumstances. You will not be charged any fees to use CashAdvance.com's service. Learn more on our Rates & Fees section.
Availability: Residents of some states may not be eligible for a short term cash loan based upon lender requirements. CashAdvance.com does not guarantee that completing an inquiry form will result in you being matched with a service provider or lender, being offered a loan product with satisfactory rates or terms, nor receiving a loan from a service provider or lender.