Real Estate News Blog August Archive

Santa Ana street struggles with subprime loans

By Art C Ryter at 08/14/07 01:06

Details the fate of one street in Santa Ana, California and the mess that subprime loans, mortgage refinancing, illicit brokering and other tricks of the real estate trade has made of a once decent neighborhood. Many had refinanced their mortgages in order to keep up with the payments or to take out “equity” to live a lifestyle they could not afford. Little has been done in terms of helping foreclosure victims, maybe because they are predominantly Hispanic or African-American. Property values are falling and hurting homebuyers who were in it for the short term. The only ones who seem content are longtime residents like Rafael who moved in 1988. The chef and father of four said he has nearly paid off his $177,000 mortgage. He has a low opinion of the people who loaned money to his neighbors and the neighbors who borrowed beyond their means. "I never sell. I never refinance," Zambrano said. "I don't take money out of my house to buy a car or take a vacation. I'm not stupid."

Original source: . Santa Ana street struggles with subprime loans

Bush on housing, mortgage issues

First it was Hilarious Clinton recommending the U.S. Government step in to clean up the foreclosure / subprime / poor lending / residential mortgage market and now George Bush has opined on the issue of foreclosure saying that the good people of the U.S. don’t need help and that refinancing should take place, if it does, due to the invisible hand of the market. President Bush today said a tad more about his position on the current turmoil in the housing and credit markets, reiterating his position that he does not support a government-financed "bail-out" of homeowners facing foreclosure. The housing market and foreclosure doom on the horizon has turn political quite quickly.

Original source: . Bush on housing, mortgage issues

The Outrageously Inventive Beauty of Costa Rica

Describes the amazing natural beauty and alluring enchantment of Costa Rica. Costa Rican property is a hot commodity among those looking for eco-travel, green living, or adventure as the tiny Central American nation has a decent economy, democratic government and natural beauty. Many expatriates choose to retire, invest, or move business to Costa Rica due to all the good graces nature has to offer. The larger expatriate community is fairly developed even publishing their own newspapers.

Original source: . The Outrageously Inventive Beauty of Costa Rica

Gibson comes out on top in real estate world

Reports that Mel Gibson, movie star, producer, and director, has purchased 400 acres of cattle and farmland in Costa Rica. Most news reports suggest that he is a shrewd businessman when it comes to real estate trends. You too could follow Mel to Costa Rica, or other Central American nation and become a hacendado (large estate owner) selling your U.S. property and buying almost anywhere in Latin America.

Original source: . [404 Check: was link to http:/ / www. miamiherald. com/ living/ home_ design/ story/ 191640. html, anchor: Gibson comes out on top in real estate world]

The riskiest housing markets

Lists California, Arizona, Nevada, and Florida as the riskiest residential housing markets that may face a decline in home and real estate values. Foreclosures are on the rise in these once hot markets and have the potential to affect market prices downward. People at risk of foreclosure have had varying degrees of success of getting help or refinancing to avoid the f-bomb on the horizon.

Original source: . The riskiest housing markets

Clinton Seeks Aid for At-Risk Homeowners

Presents presidential hopeful Hillary Clinton's designs to buy votes by seeking aid to help homeowners facing foreclosure. The attempt to help people avoid foreclosure by bringing government money to the picture is problematic. Basically, you and I are paying mortgage lenders through our taxes so that people who made bad borrowing decisions and even worse lending decisions won't lose their hides. This is part of a larger proposal containing $1 billion in federal funds to help homeowners avoid foreclosure, an end to prepayment penalties and more affordable housing options.

Original source: . [404 Check: was link to http:/ / hosted. ap. org/ dynamic/ stories/ C/ CLINTON_ MORTGAGE_ LENDERS?SITE=TXKER&SECTION=HOME&TEMPLATE=DEFAULT, anchor: Clinton Seeks Aid for At-Risk Homeowners ]

Mortgage Maze May Increase Foreclosures

Provides the best description yet of how the subprime mortgage system works and how it affects the rate and inevitability of foreclosures in the residential real estate market. Foreclosures will rise over the next few years because investors in mortgage-backed securities have little incentive to refinance loans or help homeowners avoid foreclosure. I fail to see how not allowing homeowners to renegotiate interest rates will keep the income from these investments coming. Homeowners unlucky enough to be in subprime and adjustable rate mortgages will be those who will be filing for foreclosure and those who invested in those securities will be left with junk paper.

Original source: . Mortgage Maze May Increase Foreclosures