Middle Tennessee Real Estate

Mortgage Help May be Coming

The big players in the mortgage business, Fannie Mae and Freddie Mac, may be gearing up to help home owners in distress due to possible foreclosure, according to news today via Comcast.net. According to the article:

Richard Syron, Freddie Mac's chairman and chief executive, said the company is "working on a major effort to develop more consumer-friendly subprime products that will provide stable financing alternatives going forward," which are expected to be available by midsummer.

30-year mortgages are already commonplace, but growth is expected in 40-year mortgages. Because these mortgages are longer-term, buyers will pay more interest, but monthly payments would be expected to go down.

In other news, the housing market economic outlook is being called "modest" by forecasters. According to CNN,

The South, which accounts for about half the nation's home building, showed a 3 percent decline [in housing starts], and building fell nearly 8 percent in both the Northeast and West.

But according to the same article, the National Association of Home Builders predicts the housing market to stagger along,

The glut of new homes for sale on the market has slammed sales and profits of the nation's major builders.

On a personal note, the market does seem to be picking up after what has been my longest dry-spell since I initially got my real estate license. For that I am very thankful! I'm always available as a full-time agent to help you with any of your real estate needs. I also appreciate any referral business you can send!

Labels: housing market

posted by Kathy T. @ 11:50 AM