MORTGAGE RATES » Home Mortgage Loan News

Whether you are moving for a new job or simply want a change in scenery, deciding whether you should rent or buy your next house is one of the biggest financial decisions you will ever make. There are many factors to consider before deciding which option is right for you, your family and your finances. Here we look at some advantages and drawbacks of both buying and renting a home.

Pros of Buying Property

Fiserv Predicts Home Prices to Drop by 11%

While home prices have managed to drop considerably over the past year, they are expected to drop even further (it’s unknown at this point if this drop will affect mortgage rates). According to the financial and analysis firm, Fiserv, the overall national median price is forecast to drop by as much as 11.3 percent by June 30, 2010 in 342 out of 381 markets.

Fiserv has been predicting lowered home prices for several years; however, the firm had previously underestimated the rapid decline. Now, economists believe that the firm’s predictions are on the mark. According to Moody’s Economist.com’s chief economist, Mark Zandi, there are definitely more declines to be expected. In fact, in some high-foreclosure markets like Orlando, Florida, the prices are expected to drop 27 percent.

People are spending less, saving more and always on the lookout for ways to cut costs or take advantage of offers and opportunities that could help them save or earn even more money. One of the common ways to do this is by paying less on home mortgage rates.

Many homeowners are trying to create a stronger financial situation is by refinancing mortgage loans and a popular way to refinance is through no-appraisal refinancing.

Both home prices and mortgage loan interest rates are at the lowest they’ve been in a long while. Even so, the number of home sales is declining and many are wondering if the housing market will ever recover while interest rates are depressed.

For those who already own homes but would like to lower mortgage payments, many aren’t sure whether to refinance now before interest rates jump back up or if this current trend will lead to even lower mortgage rates later. One thing is for certain, however–the Fed can’t keep rates down forever and it’s inevitable they increase sooner or later.

The Temporary Assistance for Needy Families program expired on Thursday, according to the Center on Budget and Policy Priorities. According to the center, the expiration of this stimulus-subsidized employment program will leave tens of thousands without jobs and other forms of assistance.

What is TANF?

Mortgages have been making the news regularly these days and it’s always either because people can’t afford the one they have or because lenders are offering mortgage loans at ridiculously low interest rates.

In fact, the national average mortgage rate for a 30-year fixed home loan is hovering around 4.25 percent right now. Let’s start the month of October off on a positive note and examine which banks and credit unions are offering the lowest mortgage loan rates near you:

With very few exceptions, one of the first things a potential lender will ask you for when you apply for a mortgage loan is your permission to run a credit check.

If you have some concerns about your credit history and rating, you might want to think about what some people call a “no credit check mortgage.” There are lenders that specialize in helping people with bad credit purchase homes and acquire financing at a reasonable interest rate.

Do Mortgage Lenders Always Perform a Credit Check?

Mike Choi owns a townhouse and rents out his spare bedrooms to roommates looking for a place to live. For him, it started five years ago as a means to pay for graduate school. Now, he has graduated and focuses on paying off his mortgage debt with the rental income from his roommates. He blogs about his tips and stories at Renting Out Rooms.

A spare bedroom in your house is almost like having extra money lying around–with some effort on your part, you can rent the room out to a roommate and collect several hundred dollars a month. Of course, the exact amount of rent you can collect depends on your local market rates for real estate. For instance, in my neck of the woods, I am able to collect around $600 a month.

Homes lost to foreclosure make up 26 percent of the market and they’re offering big discounts, according to a new report released on Thursday morning. In the report, issued by RealtyTrac, most homes in foreclosure are selling for about 26 percent less than non-foreclosed homes.

Looking to Sell Fast

If you want to buy a home without being nervous of financial conditions and fearful of carrying a mortgage, a private mortgage insurance policy, also known as PMI, may provide you with a sense of security and could help you secure a mortgage through a private lender.

Who Does a Private Mortgage Insurance Policy Protect?