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Rising Mortgage Rates Push First-Time Home Buyers Into Housing Market
3 By Michael Kling on December 21, 2010

Rising mortgage rates prompted more first-time home buyers to purchase homes last month.

That was one of the conclusions of the latest Campbell/Inside Mortgage Finance HousingPulse Tracking Survey.

While mortgage rates began increasing from record lows in early November the first-time home buyer share of home purchases surged from 34.4 percent in October to 37.2 percent last month.

“The recent surge in interest rates has made potential home buyers nervous,” said Thomas Popik, director of the HousingPulse survey. “If rates go up much more, then a good percentage of them will no longer qualify for the properties they want. As a result, they’re making bids on homes and quickly closing before their rate locks expire.”

“First-time buyers are back looking at homes,” said a real estate agent in Oregon who commented in the survey. Resources for first-time home buyers.

“Interest rates have helped spur recent activity,” said a real estate agent in Colorado.

Although mortgage rates have increased their record lows this summer, they’re still at historically low levels. Check current mortgage rates.

Continue Reading…

Category: First Time Home Buyer, Housing Market, Mortgage Interest Rates, Mortgage Rates, Purchase
First-time Home Buyers Take Over Home Purchases
By Michael Kling on November 8, 2010

Half of all home purchases involved first-time home buyers this year, the largest portion since the National Association of Realtors started keep records in 1981.

Last year 47 percent of home purchases were by first-time home buyers, according to NAR’s Profile of Home Buyers and Sellers. The previous largest share of first-time home buyers was 44 percent in 1991. Learn about tips for buying your first home.

The first-time home buyers’ tax credit, which has now expired, was a major reason for their large share of home purchases. Almost all first-time home buyers, or 93 percent, used the tax credit.

Almost all of first-time home buyers, or 95 percent, used fixed-rate home loans. Check mortgage rates for fixed-rate terms.

Most, 74 percent, used savings for their down payment, while 27 percent used a gift from friends or relatives, slightly more than last year. That increases shows that more parents helped their children take advantage of the tax credit and extremely affordable housing, said Paul Bishop, NAR vice president of research.

Also, 56 percent of first-time home buyers used FHA home loans to finance their home purchase. NAR also reported that 52 percent of the home buyers said obtaining a mortgage was more difficult than they had expected and 9 percent were rejected by a lender. Find tips for getting mortgage approval.

The median down payment for home buyers was 8 percent, including 4 percent for first-time buyers to 14 percent for repeat buyers. First-time may have used FHA loans, which allow down payments as low as 3.5 percent. How to purchase a house with an FHA mortgage and current FHA mortgage rates.

NAR’s survey shows that the median age of first-time buyers was 30 and their median income was $59,900. The typical first-time buyer bought a 1,540-square-foot house for $152,000. The typical home sold for 96 percent of the listing price, compared to 95 percent the group’s survey last year.

Category: First Time Home Buyer, Fixed Rate Mortgages, Purchase
Case Shiller Index Co-Creator Says Go Buy A House
By Michael Kling on October 26, 2010

While the latest Case Shiller Housing Index shows a decline in house prices, one of the inventors of the index, Karl Case, is optimistic about the housing market’s future. With home prices depressed, this is a great time to purchase a home, he believes. Learn about purchasing a home.

An increase in existing-home sales in September was an encouraging sign, said Case, the co-creator of the Case Shiller index.

Monthly home sales for last month were up 10 percent, over August sales, but significantly down from last year, according to numbers from the National Association of Realtors.

“The fact that it went up is very good news, because everyone thought it was going to go down,” Case said at a Maine’s Affordable Housing conference in Portland, ME, yesterday, according to The Portland Press Herald.

The latest figures show that housing markets are stabilizing, said Case, a speaker at the conference. Another round of increasing home sales in the next NAR report would indicate that the housing market is recovering. Continue Reading…

Category: First Time Home Buyer, Purchase
Avoid McMansions – The Trend To Smaller Homes Is Permanent
By Michael Kling on October 21, 2010

The trend to smaller homes is here to stay, and McMansions will be out of style. That’s the prediction from the National Association of Home Builders outlined in a study released today.

Tighter mortgage lending requirements is one factor driving home sizes down, the NAHB points out. Find mortgage products.

Homeowners want to keep energy costs down, and they have less interest in buying homes as investments. Also, current homeowners have smaller amounts of home equity that they can use purchase new larger homes, first-time home buyers, who tend to buy smaller homes, are relatively more numerous.

Home sizes experienced a similar decline when mortgage interest rates were outrageously high back in the 1980s. But that was temporary. The current trend to smaller homes will outlast the current economic downturn.

That could mean owners of larger homes will be advantage when selling, taking longer to find an acceptable offer or accepting less than they want. Extra luxuries like fireplaces and might not matter as much. The housing market could favor sellers with smaller homes, sought by first-time home buyers. Continue Reading…

Category: First Time Home Buyer, General, Mortgage Interest Rates, Purchase
15 Year Fixed Mortgage Rates in CT
1 By Staff on October 13, 2010

The Mortgage Bankers Association released its Weekly Mortgage Survey earlier today. According to the survey mortgage rates have continued to fall with a slight rise in refinance activity. The average interest rate for 30 year fixed mortgages dropped to 4.21 percent from 4.25 percent last week. Similarly the average interest rate for 15 year fixed mortgages fell to 3.62 percent from its previous 3.75 percent last week.

Total Mortgage is currently offering some of the lowest mortgage rates in Connecticut and across the nation. If you like to be part of the Constitution State and its rich history now is the time for first time home buyers to take advantage of these low mortgage rates to purchase their new homes. It is also a great time for refinancing your current mortgage rate into a lower mortgage rate and save thousands in the long run.

Fixed rate mortgages are one of the most common mortgage loans among borrowers for its consistent monthly payments and fixed rate throughout the life of the loan. Currently at Total Mortgage, a 30 year fixed conventional mortgage is available to borrowers in CT at 3.750 percent with 3.941 percent APR. A 15 year fixed conventional mortgage is available at 3.250 percent with 3.602 percent APR.

Total Mortgage is also an FHA approved lender. If you are a first time home buyer looking for a low down payment and more lenient loan requirements, then a mortgage loan insured by the Federal Housing Administration could be your answer. At Total Mortgage a 30 year fixed FHA is available at 4.000 percent with 5.080 percent APR.

Please call us at 877-868-2509 to speak with one of our licensed mortgage experts for more information on our current mortgage rates and mortgage products in CT.

*All rates shown are for 30 day rate locks. Longer locks available. The APR for conventional loan amounts is calculated using a loan amount of $417,000, 2 points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for jumbo loan amounts is calculated using a loan amount of $500,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for FHA loan amounts is calculated using a loan amount of $295,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. Some rates and fees may vary by state. All interest rates listed are for qualified applicants and are subject to mortgage approval. All rates are subject to change without notice.

Category: Mortgage Rates
Mortgage Rates at All Time Low – Freddie Mac
By Staff on October 8, 2010

According to Freddie Mac’s weekly survey for the week ending October 7, 2010 mortgage rates dropped to new lows again. The average 30 year fixed rate mortgage dropped to 4.27 percent compared to 4.32 percent last week. At the same time last year the average 30 year fixed rate mortgage was at 4.87 percent. The average 15 year fixed rate mortgage also dropped a record low of 3.72 percent compared to 3.75 percent last week. Last year average 15 year fixed rate mortgage was 4.33 percent.

Mortgage rates have been continuously on the decline. With rates so low it makes it a perfect time for refinancing and purchasing activities. For all borrowers who have been waiting for rates to go down, you can take advantage of these low rates to lower your mortgage payments and save. Also it is a perfect time for first time home buyers to purchase and lock into these record low mortgage rates.

Currently Total Mortgage has some of the lowest mortgage rates in the industry. At Total Mortgage we offer a variety of mortgage products to meet your needs. Fixed rate mortgages are one of the most popular mortgages among borrowers. A 30 year fixed rate mortgage is available to borrowers at 3.875 % (4.057% APR), and a 15 year fixed rate mortgage is available at 3.500% (3.854% APR).

Total Mortgage is also an FHA approved lender. FHA mortgages are mortgage loans backed by the Federal Housing Administration and available only through FHA approved lenders. FHA mortgages have gained popularity in recent years among first time home buyers because of its less stringent requirements and lower down payments compared to other traditional mortgages. A 30 year fixed FHA mortgage is available at Total Mortgage to qualified borrowers at 4.125% (5.293% APR).

For more information on our mortgage rates and other mortgage products please call 877-868-2503 to speak with one of our licensed mortgage experts today

Mortgage rates are always changing. All rates were quoted at 10:30 A.M., on October 8, 2010.

*All rates shown are for 30 day rate locks. Longer locks available. The APR for conventional loan amounts is calculated using a loan amount of $417,000, 2 points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for jumbo loan amounts is calculated using a loan amount of $500,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for FHA loan amounts is calculated using a loan amount of $295,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. Some rates and fees may vary by state. All interest rates listed are for qualified applicants and are subject to mortgage approval. All rates are subject to change without notice.

Category: Mortgage Rates
Benefits of FHA Mortgage
1 By Staff on October 5, 2010
FHA mortgages are gaining popularity over the last few years among first time home buyers throughout the country. These types of mortgages are provided by FHA-approved lenders and insured by the Federal Housing Administration so that borrowers who may not be able to meet the strict requirements of conventional loans are still able to get mortgages.

There are several benefits of FHA mortgages compared to other mortgage products. Some of them are as follows:
1. FHA mortgage have more lenient loan requirements compared to other traditional mortgages such as the conventional mortgage loans.
2. FHA mortgages have lower down payments and can be as low as 3.5 percent when compared to traditional loans which may require higher down payment of 20 percent.
3. As down payments can be as low as 3.5 percent, borrowers can borrow almost 97 percent of the value of the home, which means less cash requirements upfront.
4. The closing costs are usually low in this type of mortgage loans as they are regulated by the HUD.
5. For fixed FHA mortgages, rates are fixed for the life of the loan, so borrowers do not have to worry about their rates changing.
6. Also credit requirements for FHA mortgage are not as stringent compared to other standard mortgage.
7. Borrowers can also qualify for FHA loans even if they had bankruptcies in the past, but they must be at least two years old and have had a good credit for the next two years.
8. Likewise, if borrowers had any foreclosures, they must be three years old and must have a good credit for the next three years.
One downside of FHA mortgage loans is that borrowers have to pay mortgage insurance for their loans. The mortgage insurance is usually .5 percent each year of the total loan amount, and is charged to homeowners on a monthly basis.

Total Mortgage is an FHA approved lender and is currently offering some of the best FHA mortgage rates in the industry. A 30 year fixed FHA is available to qualified borrowers for a low 4.125 percent and 5.293 percent APR.

For more information on FHA mortgage, please call 877-868-2503 to speak with a licensed mortgage expert immediately!

Mortgage rates are always changing. All rates were quoted at 11:30 A.M., on October 5, 2010.

*All rates shown are for 30 day rate locks. Longer locks available. The APR for conventional loan amounts is calculated using a loan amount of $417,000, 2 points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for jumbo loan amounts is calculated using a loan amount of $500,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for FHA loan amounts is calculated using a loan amount of $295,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. Some rates and fees may vary by state. All interest rates listed are for qualified applicants and are subject to mortgage approval. All rates are subject to change without notice.
Category: Mortgage Rates
Refinance Mortgage Rates in Pennsylvania
1 By Staff on October 4, 2010

According to the Primary Mortgage Market Survey released by Freddie Mac, 30 year fixed rate mortgage averaged to a new low of 4.32 percent. Likewise, 15 year fixed rate mortgage averaged to a record low of 3.75 percent. Mortgage rates are continuously on the decline. It is a perfect time to take advantage of these low mortgage rates to refinance your existing mortgages and save thousands in the long run. It is also a great time for first time home buyers to take opportunity to grab these low mortgage rates.

If you are homeowners or potential home buyers looking to refinance or purchase in Philadelphia, Pittsburgh, Erie or any other cities in Pennsylvania, look no further. Total Mortgage is offering some of the lowest current mortgage rates in Pennsylvania and across the country.

A 30 year fixed conventional mortgage is available in Pennsylvania at 3.875% interest rate and 4.057 % APR. A 15 year fixed conventional mortgage is available at 3.500% interest rate and 4.153% APR. Many borrowers also consider adjustable rate mortgages (ARM) to refinance. Total Mortgage has some of the best ARM rates in Pennsylvania. A 5/1 ARM conforming mortgage is available at 2.750% rate and 2.637 % APR.

With all the low mortgage rates currently available in PA and across the nation makes it a great time to consider refinancing. If you like more information on the mortgage rates and our mortgage products, please call 877-868-2509 to speak with one of our licensed mortgage professionals today.

Total Mortgage rates are constantly changing. All rates for Pennsylvania were quoted at 10:30 A.M., EST on October 4, 2010.

*All rates shown are for 30 day rate locks. Longer locks available. The APR for conventional loan amounts is calculated using a loan amount of $417,000, 2 points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for jumbo loan amounts is calculated using a loan amount of $500,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for FHA loan amounts is calculated using a loan amount of $295,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. Some rates and fees may vary by state. All interest rates listed are for qualified applicants and are subject to mortgage approval. All rates are subject to change without notice.

Category: Mortgage Rates
30 Year Fixed Rate Mortgage – 3.875% at Total Mortgage
By Staff on October 1, 2010
According to Bankrate’s national survey, the 30 year fixed rate mortgage remained unchanged for this week with the same record low rate of 4.5 percent from last week. With mortgage rates at historic lows we have yet to see mortgage activities increase. Refinancing activity fell to 80.7 percent from 81.1 percent compared to the previous week according to Mortgage Bankers Association’s Weekly Mortgage Application Survey.

Total Mortgage is currently posting some of the lowest mortgage rates in the industry. A 30 year fixed rate mortgage is offered at a low 3.875% and a 4.057% APR.

30 year fixed mortgages are often popular among first time home buyers because:
- Mortgage rates are fixed throughout the period of the loan.
- Increase in the interest rates will not affect borrowers once they lock in the low rates.
- Predictable monthly mortgage payments so borrowers would know upfront their next month’s payment.
- The interests you pay towards your mortgage are tax deductible, hence more savings.
- Ideal for borrowers who plan to stay long term in the house.
Total Mortgage offers a variety of other mortgage products at some of the most affordable mortgage rates. A 15 year fixed rate mortgage is available at 3.500% and 3.854% APR. A 30 year fixed FHA is available at 4.125% and 5.293% APR, and a 15 year fixed jumbo mortgage is available at 4.000% and a 4.349% APR.

Call 877-868-2503 to speak with our licensed mortgage expert to take advantage of these low mortgage rates immediately!

Mortgage rates are always changing. All mortgage rates were quoted at 11:00 A.M., on October 1, 2010.

*All rates shown are for 30 day rate locks. Longer locks available. The APR for conventional loan amounts is calculated using a loan amount of $417,000, 2 points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for jumbo loan amounts is calculated using a loan amount of $500,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for FHA loan amounts is calculated using a loan amount of $295,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. Some rates and fees may vary by state. All interest rates listed are for qualified applicants and are subject to mortgage approval. All rates are subject to change without notice.
Category: Mortgage Rates
Mortgage Rates Notably Down at Total Mortgage
By Staff on September 15, 2010

Good news for all borrowers! Total Mortgage has dropped its mortgage rates notably from earlier this week. Mortgage rates for select fixed rate mortgages and adjustable rate mortgages (ARMs) have decreased by one eighth of a point.

Earlier this week a 30 year fixed rate mortgage was available at a 4.125 percent interest rate with 4.323 percent APR. Today, the same 30 year fixed rate mortgage is available now at a low 4.000 percent interest rate with 4.201 percent APR. Likewise, a 20 year fixed rate mortgage and 15 year fixed rate mortgage was offered at 4.000 percent (4.273% APR), and 3.625 percent (3.972% APR) respectively. Now a 20 year fixed rate mortgage is available at a 3.875 percent (4.153% APR) and a 15 year fixed rate mortgage at 3.500 percent (3.854% APR).

A 5/1 ARM conforming mortgage rate was previously offered at 2.875 percent (2.638% APR). Today, 5/1 ARM conforming mortgage rate has also come down and is available now at a newer low 2.750% mortgage rate and 2.637% APR.

How much can you save with the new low rates? You may be able to save a total amount of $7,813 over the period of the loan if you had a mortgage of $300,000 with a 30 year fixed rate mortgage at a 4.125% rate and refinanced into the new low 30 year fixed rate mortgage at a 4.000% mortgage rate.

For all borrowers who have been considering refinancing your existing loans or buying your first home, now is the perfect time to take advantage of these new low mortgage rates and make your dreams come true.

If you like to secure our new low mortgage rates or want to learn more about our mortgage products, please call 877-868-2503 to speak with a licensed mortgage expert immediately!

Mortgage rates are always changing. All rates were quoted at 10:30 A.M., on September 15, 2010.

*All rates shown are for 30 day rate locks. Longer locks available. The APR for conventional loan amounts is calculated using a loan amount of $417,000, 2 points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for jumbo loan amounts is calculated using a loan amount of $500,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. The APR for FHA loan amounts is calculated using a loan amount of $295,000, two points, a $495 application fee, $500 loan processing fee, $715 underwriting fee and a $16 flood certification fee. Some rates and fees may vary by state. All interest rates listed are for qualified applicants and are subject to mortgage approval. All rates are subject to change without notice.

Category: Mortgage Rates