Reverse mortgages, which have been available to elderly borrowers for over two decades, will become more difficult to obtain in the future. Major reverse mortgage lenders have abandoned the product and the FHA has indicated that they will tighten underwriting guidelines due to the large number of reverse mortgage defaults. Last year, two of the […]
FHA Tightens Guidelines On Broken Reverse Mortgage Program, Major Lenders Exit The Business
January 31, 2012 Filed Under: Benefits of FHA Mortgage, FHA HECM, FHA Home Equity Conversion Mortgage, FHA loan, FHA reverse mortgage, Mortgage Default
Sometimes, FHA Financing Is Not The Best Option For Homeowners
January 30, 2012 Filed Under: FHA Down Payment Requirements, FHA Eligibility Requirements, FHA loan, FHA mortgage, FHA Mortgage Insurance
FHA mortgage financing offers the benefits of low interest rates, relatively liberal underwriting guidelines and low down payment requirements. Sometimes, however, FHA financing is not the best option for a home buyer. One of the biggest drawbacks to FHA financing is the expensive mortgage insurance charged to borrowers. In addition to being charged an upfront […]
A Rational Reason To Default On Your FHA Mortgage
January 12, 2012 Filed Under: FHA Foreclosure Help, FHA loan, Mortgage Default
Mortgage defaults are at an all time high as property values plunge, incomes drop, unemployment rises and the average consumer is squeezed by the exploding cost of daily necessities. The housing situation is at a critical stage and not likely to improve any time soon. Here are some highlights from a recent report by the […]
Millions Of FHA Borrowers Have Negative Home Equity Which Often Results In Defaults
January 5, 2012 Filed Under: FHA loan, FHA mortgage, FHA property
Few things are more psychologically and financially damaging than the realization that you owe more on your home than it is worth. The real estate industry has forever advised potential buyers that you “can’t go wrong owing a home since prices always go up” – a myth that exploded as the housing bubble started to […]
FHA Mortgage Insurance Increase Tied To Payroll Tax Cut Is Bad News For Homeowners
December 22, 2011 Filed Under: FHA mortgage, FHA Mortgage Insurance
The attempt by legislators to extend the payroll tax reduction has resulted in proposals to increase the mortgage insurance premiums on FHA loans. Originally, the Senate had only proposed increasing the guarantee fees charged by Fannie Mae and Freddie Mac on sales of mortgage backed securities. The estimated fee increase of 12.5 basis points would […]