Mortgage Notes--Do you know what HVCC is?

Rates are pretty good...still. Whether it's 5.25% or 5.75% , it's still good! More importantly, you should be aware of the new HVCC policy which can delay your closing or cost you extra money if you switch lenders and are attempting to use the same appraisal.

HVCC stands for home valuation code of conduct. This "code" of conduct was adopted by Fannie Mae and Freddie Mac as of June 1. Andrew Cuomo from New York did an "end run" around the legislative process and went directly to Fannie Mae and Freddie Mac to adopt this policy. This is a policy that was introduced in response to the "flipping" of homes that caused a lot of people to lose their homes due to fradulent practices concerning the appraisal process.
In short, mortgage originators may not order their appraisals anymore nor can they even speak to the appraiser regarding value. All appraisals, except on FHA and VA loans, must be ordered through a "management company". This is another layer to the already burdensome process of getting a mortgage. Appraisal fees immediately went from an average of $350.00 to $400.00.

The good news is that the National Association of Realtors and enjoined the lawsuit that the National Association of Mortgage Brokers has initiated and they are calling for an immediate moratorium on the HVCC procedure for the next 18 months. Let's hope that they are successful.

If I can help you with any mortgage questions and how this HVCC may or may not affect your upcoming home purchase or refinance please contact me and I will be happy to help guide you through the process.

Marc Hayes

Mortgage Consultant

Mhayes@remortgagefunding.com

O-443-632-0868

C-410-979-9588

Mortgage Rate Update/Monday June 15

Rates are continuing lower today as mortgage and treasury prices rally. ( Rates not back to previous lows, but at least heading in the right direction). Treasuries are climbing after the Japanese and Russian Finance Ministers expressed confidence in the U.S. dollar and U.S. securities. The economic releases last week were not as positive as the previous week and have helped stop the freefall in the treasury market as well.
Bruce W. Kessler
Mortgage Loan Officer
First Home Mortgage

Great Turn-out for Annual Rodgers Forge Picnic

Saturday's Community Picnic was a great success. Estimates are that we saw close to 500 neighbors at the big event. The kid's were lined up for pony rides all afternoon(after 200 rides we had some tired ponies!); even the pit beef ran out before 1pm! We had a very talented clown in the house who designed many different animal balloons--we loved the poodles on leashes-- and we saw lots of faces painted in many colors! The food was fabulous thanks to Wolford's. It was great to meet and catch up with lots of neighbors from many streets in the neighborhood.

Thanks to those who stopped at the ticket table to check on their dues and get them paid. the Rodgers Forge cups were a popular item. Many thanks to Kate Canada and her team of volunteers for pulling off an awesome event and for making sure we had good weather!

June Housing Update

As of today in The Forge:
--23 properties currently on the market, price range $269.9-$445K
--Of these, 3 are 5bdrm EOGs from $395-$445K
--3 are 4bdrm homes from $317-$349.9
--2 rentals on the market
--14 properties currently under contract, price range $245-$399K
--Average days it takes to put a house under contract: 45
--11 properties sold since May 1, sold price range $213-$350K
Questions, comments? Post them! Or call me anytime.

Mortgage Rate Update

Mortgage rates continued the trend higher this week. Today is no exception with financial markets reacting to a better than expected May Jobs Report. Payroll losses in May totaled 345,000, which was far fewer than the 520,000 that were expected. The unemployment rate did rise slightly higher than expected to 9.4%. The deceleration in job losses as well as stabilization in manufacturing and housing is evidence that we are taking the first steps to economic recovery. Stocks are relatively flat on the day while treasury and mortgage prices are lower, mortgage rates higher. Clients that have been floating their rate have lost some ground the 10 days.
Bruce W. Kessler
Mortgage Loan Officer
First Home Mortgage