Countertops made out of Geodes and Semi-Precious Stones

contemporary bathroom countertops design by houston tile stone and countertop Habitat Stone

This will def. be the first order of business when I buy a real house/condo someday.

HARP 2.0 UPDATE

My mortgage was initially approved using the computer underwriter. My loan has been sent to a human underwriter to look at to see if it is 100% approved, and then to get a commitment to lend letter. It is nice of my mortgage broker to make sure that I get a 100% concrete approval before he charges me for the appraisal fee.

I will let you all know when I get that final approval letter, and the results of my appraisal when that occurs.

HARP 2.0 LOANS: .75 Higher Interest Rate Penalty for More Than 125% LTV

Why was my rate locked in at 3.875% for a 15 year mortgage when rates are around 3.00%?

Unfortunately if your house is more than 125% LTV you have to pay a premium on your mortgage rate with the Harp 2.0 program due to the higher risk involved in refinancing such an underwater home. I don't mind because 3.875% still beats 6.500% any day.

Hopefully if my condo does come in at 124% LTV during the appraisal my mortgage rate will drop even lower at closing. I highly doubt my appraisal will be that favorable but we will see what happens.

WELLS FARGO HARP 2.0 UPDATE

Good News!

Mortgage guy called and said that Wells Fargo edited their DU Software to allow for unlimited LTV. I went into the office today and I was approved at unlimited LTV.

I decided to go with a 15 year mortgage refinance, and my rate was locked in at 3.875%. I am currently paying 6.50% on a 30 year mortgage so my new monthly payment is roughly the same as my current 30 year payment. I am also taking my mom off the mortgage, which is worth its weight in gold knowing that the condo is in my name only, and that she is no longer responsible for it.

I decided to go with the 15 year mortgage because I am shaving 10 years off my current mortgage, and 15 years off what would have been a 30 year refinance. I am saving myself thousands of dollars in interest, and paying down principal at a much faster rate.

I think I am scheduled to close on this loan around May 15th. I will keep you updated.

Great Housing Market Cartoon

Its 2012 and Ron Paul is Still My Hero

The New Plan: Get a Mortgage on a New Home. Rent Out Condo!

As many of you know who have read this blog since the start I paid about 84,000 dollars for a 1 bedroom condo that is now worth about 30,000 in the economically depressed Michigan Market.

Luckily my month payment on the 84,0000 (I put 20% down) even with a 6.5% interest rate is roughly equal to what month rents are in my area.

I found a renter who wants to sign a 2-year lease on my condo.

I have also found 3 bedroom houses for sale for $60,000 that at one time were selling for 120-150,000 dollars.

The new plan is to get a mortgage for one of these new places and let the renter rent my old condo at a "break even" rate. I am going in to sign the application papers today for a mortgage.

I will let you know how this fiasco works out.

HOUSINGFEAR Humor

My HARP 2.0 Application was Rejected by Wells Fargo

Let me start with some background about my situation.

I have never missed a payment or been late on a payment.
My home is owned by Fannie Mae.
I originally put a 20% down payment on my Home.
I have had the same Job since 2008.
I have a 770 median credit score.
Wells Fargo services my current mortgage.

My application for Harp 2.0 was rejected by Wells Fargo because I am too "High Risk" due to how underwater my home is. LTV is too high!

The whole purpose of Harp 2.0 was to finance people who did the right thing but were underwater for no fault of their own. Wells Fargo is criminal. They are ignoring the government guidelines and refusing to refinance Harp 2.0 loans with a LTV more then 115%. That is not even as good as Harp 1.0. (which they would only refinance up to 105%).

Even if I would have have been refinanced I would have had to pay a 5% interest rate when rates were hovering in the low 4% range due to how underwater my home was (about 170%)

This whole thing is criminal, and ridiculous. They do not want to refinance me because they are making money off me already and do not want to lower their profits.

Why even claim to participate in the program if you really are not following any of the guidelines?

HARP 2.0 UPDATE

I met with the mortgage broker....I do have to pay 370 dollars for an appraisal fee :(.

Because I told him I think my house is more then 125% underwater my interest rate will be a whooping 5.0%. He says if my appraisal comes in better, and I am 125% or under then I will have a lower interest rate.

The only reason I am going through with the refinance is 5% is better then the 6.5% I am currently paying, So I still feel like its worth it even though it will take me like 2-3 years to break even on the refinance.

I am starting a clinical internship rotation soon, and I will need the lower mortgage payment so I can work less hours and focus on the very last part of my education.

Harp 2.0 was pretty disappointing because the Banks are not obeying the intent of the program, and are instituting overlays like appraisals when they are not required by Fannie or Freddie. I am a Ron Paul supporter and a Constitutional conservative but you can really understand the occupy wall street movement and their anger to the banks when they screw over people like this just to make a larger profit.

I did the right thing. I put 20% down on my condo, I kept paying my mortgage even though I am 170% underwater (even after the 20% down I am still 170% LTV). And I did not buy more house then I could afford.

Yet they still do everything they can to screw me with appraisal fee's and making me pay a higher risk interest rate because my home is underwater even though that is not the intent of the program, and goes against the federal guidelines. If I cared how underwater I was I would have walked away already...why punish me further when I have proven I am responsible.

Very disappointing but I guess a 1.5% savings is better then nothing.

Tuesday I meet with the Mortgage Broker

Tuesday, March 20th I will be meeting with the mortgage broker to fill out my mortgage application and lock my rate. Of course knowing my amazing luck, mortgage rates have been rising the past week. (/Sarcasm)

I will post an update Tuesday night and let you know what happens, and see if I still get screwed having to pay an appraisal.

March 17th is my Refinance Date

Just wanted to give you all an update the the Harp 2.0 Financing will be available on March 17th. And I am going to start my mortgage refinance on that date. Hopefully rates stay low for one more month and I will keep you posted.

We are now at the rock bottom of the Housing Crash

For many years scum bag realtors have been claiming that the bottom of the housing market has been reached only hoping to boost their sales.

Well folks, on Jan 31st, 2012. I am telling you that in my opinion we have now reached the bottom of the housing market and that prices will only rise from this point forward. Not saying they will rise astronomically but house prices will no longer crash until after the next peak is reached.

Why?

1) The New Harp 2.0 program will give responsible home owners a reason to stay in their home.

2) Foreclosures will no longer be a major anchor on the housing market because most of the foreclosures that were going to happen have occurred already, and Harp 2.0 and other refinancing options being talked about will give responsible home owners who have stuck it out this far a reason to continue doing so.

3) All the people who strategically defaulted back in 2008 have recovered their credit almost to the point where they can actually qualify for a mortgage again. From now on as each month passes more and more of the original losers who created this mess in the first place will now be able to get mortgages again at the lower home prices. I predict that this will be the major factor in driving house prices higher, as all the sub prime borrowers who got foreclosed on will start to feast their greedy eyes on mortgages, and house profits once again.

So everybody...Housing Fear is ending...And Housing Rise is about to begin once again.

Jan 30th, 2012...The Housing Crash has hit Bottom, and it's all uphill from here.

And if you are the girl in the photo...Please email me because I would like to buy you some drinks sometime.

The Best Political Ad of All Time.

Wells Fargo Harp 2.0: "Wait till March or April"

My mortgage guy calls me up yesterday and tells me that if I am still interested he could go forward with the refinance, and he now has all the information he needs.

Wow I thought...This was great news. When I asked him if it was true that there were no fee's with the harp 2.0 mortgage if you refinance to a shorter term he started to play dumb with me and asked "whats harp 2.o". I was kind of flabbergasted because he knew this was the whole purpose of me meeting with him in person 2 different times and what I was waiting for.

Basically he was trying to refinance me with the harp 1.0 mortgage saying I would qualify with that and tried arguing with me that my condo was not more then 125% underwater based on the information he had in his system.

I informed him that My condo was worth 30,000 if I was lucky and I paid 87,000 for it. I also told him I was not going to pay the appraisal fee associated with harp 1.0 or the higher origination fee's.

He then told me he heard nothing about harp 2.0 being lower in origination fee's. (even though I read it on the fannie mae info page. (see page 19-20 under pricing)
https://www.efanniemae.com/sf/mha/mharefi/pdf/refinancefaqs.pdf

Basically I told him I was not interested in Harp 1, and I will wait till Harp 2 is out. He said it won't be until March or April, and he would hear more around Feb 1st.

I kind of feel like he was trying to trick me into refinancing into harp 1, even though he knew I wanted harp 2.

Sometimes it sucks being so smart. Hopefully it's not another April Fools Joke.

THE MEDIA IS RUNNING SCARED OF RON PAUL

It has become a comedy watching the news lately.

"If Ron Paul wins Iowa it means nothing"

"Ron Paul is good in Iowa, but thats about it"

Guess what guys...He is second in NH, and is surging. He will be the nominee if he wins Iowa.

I am predicting shenanigans in the MSNBC/Marist Poll tomorrow. The hosts are talking about "how excited" they are for this next poll so my guess is they have it rigged to show a drop for Ron Paul in Iowa to try and claim he is losing support and sway public opinion. Even though every other poll has him winning.

I really do detest the mainstream media.

Wells Fargo is Ridiculous

I went into the office yesterday and my mortgage guy was not there. A lady was there and tried to argue with me that she had heard nothing about the new Harp 2.0 being an unlimited loan to value ratio. That what she had heard was the new Harp 2.0 would be a 125% limit.

I basically politely told her to put down the crack rock she was smoking, because the whole point of harp 2.0 was to refinance people who were deeply underwater, and even the paper work from fannie mae I read online says there is no limit on the loan.

She then pretends to make a phone call...and after talking with a guy agrees that there will not be a limit. But says she has no idea when the program will be ready.

How can they offer something like this in October, get everyone excited, and then 3 months later have idiots in their office not even know the basic premise of the program. Maybe she thought I would be dumb enough to apply for the harp 1.0 if she could trick me, I have no idea.

Just think that this whole thing is turning into a joke.

Wells Fargo Harp 2.0 Update

Well...I qualify for everything to get the loan. The problem is that Wells Fargo has still not implemented the Harp 2.0 program. I think it is ridiculous that they recieved all the regulations on Nov 15th, and six weeks later they are still not able to take applications on it. My guess is that they are not in a big hurry to refinance people to a lower rate.

So I am still ready and waiting to lower my loan payment, and shorten the term of my mortgage. I just have to wait for Wells Fargo to get their act together.