Financing and Mortgage

The number of homebuyers applying for mortgage loans rose in February as fixed rates fell below 5 percent, according to the Mortgage Bankers Association. Among these mortgage applicants could be current mortgage borrowers who want to refinance their loans to avoid foreclosure. The MBA reported its mortgage application index increased by more than 45 percent to 875.3 during the week ended February 13.

With market conditions clearly favoring buyers over sellers, it is not surprising that you would like to take a share of the pie and purchase a foreclosure property for its good return potential. However, it is important for you to get pre-approved for a mortgage loan first before you start shopping for one of these distressed properties

For the month of May, Florida posted the 4th highest foreclosure rate in the nation, with one out of 228 homes entering some stage of foreclosure. Considering this, it is not surprising that the local government is doing everything in its power to stem the rising tide o foreclosure.

According to retirement plan administrators nationwide, homeowners are cashing out their 401(k) accounts citing hardship as the reason for the withdrawals. The number one hardship being revealed by this group of individuals is to stop foreclosures. Traditionally, people could take loans from their 401(k). However, loans just won’t keep their homes from appearing on foreclosure listings. Foreclosure homes are devastating to the economy and to the public, as everyone suffers.