The News Review:
- Citigroup, Eight Companies to Help Ohio Homeowners (Update2)
- ‘Subprime’ market is not all that bad
- Good broker will warn against bad refi
- City reneges on promise to allow homeowner’s garage
- MRG Enhances MIRACLE ONLINE DocPrep System to Meet New Requirements
Citigroup, Eight Companies to Help Ohio Homeowners (Update2)
Bloomberg – Apr 7, 2008
home foreclosures have climbed in the past two years asadjustable-rate mortgages rise and owners struggle to sell orrefinance amid falling house prices. states, Ohio had thehighest percentage of loans in the foreclosure process in thefourth quarter, according to the… The nine loan servicers were among 20 that refused to sign avoluntary agreement last year to help delinquent borrowers inOhio, prompting Dann to issue the subpoenas in November. Hedidn't identify which companies were targeted. Today'sannouncement has “no bearing'' on Dann's probe of the mortgageindustry, spokesman Ted Hart said. 55 Percent Share The agreements are in force until June 30, 2009. KimberlyZurz, director of Ohio's Department of Commerce, said the ninecompanies involved represent almost 55 percent of currentmortgage borrowers in Ohio. 9 percent of Ohio's mortgages were in foreclosure inthe fourth quarter, according to the Mortgage BankersAssociation.
‘Subprime’ market is not all that bad
Augusta Chronicle – Augusta Chronicle (subscription) – Apr 7, 2008
In addition, the loans had a balloon payment due at the end of the loan. Today, most mortgages are long-term amortizing loans. Why the difference?During the 1920s, lenders were willing to refinance the short-term mortgage, but when banks were failing or in need of money, they limited refinancing options. Also, as homeowners became unemployed, the situation worsened. The government stepped in, assumed many of the mortgages and refinanced them as longer-term amortizing loans. Later, Fannie Mae was established to purchase these mortgages, becoming the industry standard. Many complain that the subprime market is the cause of all the current problems.
Good broker will warn against bad refi
Inman.com – Inman.com (subscription) – Apr 7, 2008
A good rule: Do not respond to solicitations. Good brokers are financial planners: Mortgages should fit properly into a household’s overall financial situation and goals, which often involves challenging questions. Here is an abbreviated list of some important ones:What is the best type of mortgage for this borrower?How much should the borrower put down?Should the borrower pay points or receive rebates?Should the borrower raising cash take a second mortgage or do a "cash-out" refinance? Should the borrower putting less than 20 percent down buy mortgage insurance, take lender-pay insurance at a higher rate, or take a piggyback second mortgage?Will it pay the borrower to refinance?Should the borrower consolidate other debts in a refinance?Should the borrower use available cash to pay down debt, pay points, or make a larger down payment?There is no single conclusive test of a broker’s skills as a financial planner, but there are clues in how the broker responds to your questions regarding one or more of these or similar issues. A good sign: The broker indicates what the answer to your questions depends on, e. , whether you should pay points depends heavily on how long you expect to have the mortgage. An even better sign: The broker indicates a specific analytical tool he will use to answer the question, such as a specific calculator or spreadsheet.
City reneges on promise to allow homeowner’s garage
Inman.com – Inman.com (subscription) – Apr 7, 2008
DEAR BENNY: Can I purchase a share of my mom’s house? She wants to retain some ownership. She owes $80K on the house. Can she add my name to the deed? I would then refinance so we’d be responsible for the mortgage. Or we could both be on the mortgage. We’d own the property jointly with joint rights of survivorship. I would be making the mortgage payments. We would both have the right to live there.
Related: Renew Yourself
MRG Enhances MIRACLE ONLINE DocPrep System to Meet New Requirements
sys-con.com – Apr 7, 2008
The document is not static and does not include predetermined products and calculations. Maine: MIRACLE now includes a screen for completion of the Maine Reasonable, Net Tangible Benefit Disclosure. For refinance transactions in Maine, lenders can complete the disclosure on the “related lien” screen. “As states announce new lending regulations to reflect current market conditions, MRG’s systems continue to evolve,” said Terry King, group Chairman of MRG. “MRG understands that mortgage brokers and lenders require customizable tools that fit their current loan products and comply with state requirements and borrowers’ needs, and we provide a flexible system to meet those requirements. ” MRG offers a system for the preparation and delivery of compliant document packages for mortgage lenders nationwide. The specific needs of the individual lenders are met through customized document packages, designed by in-house legal professionals and IT specialists… Enhancements added to meet specific state regulations include the following: California: MRG provides a completed document to satisfy the California Department of Corporations’ requirement to supply a Nontraditional Lending Disclosure when a loan is considered a nontraditional product. Additional programs are used to calculate values that populate the disclosure included in the document package. MRG’s system calculates results using the lender’s products and terms as specified in MIRACLE and as required by the regulation.
Related: Business, Money & Finance : Internet Marketing Gorillas, LLC…
[...] In Break With Staid Look, Cash-Strapped Metro Sets Sights on Placing…Washington Post – Apr 6, 2008Captivating an Audience. In 1941, the first TV spots were broadcast — for a ticking Bulova watch. In 1999, Internet advertising broke the $2 billion mark… (No word yet on the advertisers. ) The project is part of an expanded ad campaign approved by the Metro board last summer to boost operating revenue. Metro receives about $35 million a year from advertising, the largest source of revenue that does not come from fares, fees or local governments. By expanding advertising, Metro hopes to earn an additional $3 million in ad revenue this year, officials said. Based on preliminary projections, Metro could receive $110,000 from a single motion-activated ad at Farragut West for one month, CBS Outdoor and Metro officials said. The interactive ads are more expensive to install but more appealing, because they allow advertisers to frequently change them. They also bring in more dollars than the station-blanketing ads that are also part of Metro’s push for a new look.Related: Good broker will warn against bad refi [...]
[...] THE WAY WE LIVE NOW: 8-3-03; The Tug of PaternalismNew York Times – Aug 3, 2003History has made Liberia ours. Paternalism, if not colonialism, remains a real force, especially in Africa. Look at the example of Sierra Leone and Great Britain, its former colonial master. The British have no meaningful ”interests” to protect in Sierra Leone. The expatriate community is long gone, and the country is almost irrelevant commercially. The only thing that remains is ephemeral — a historic relationship. But for the British, that was enough.Related: City reneges on promise to allow homeowner’s garage [...]