Northern Nevada:
You can now buy a 2100 square foot home in growing Dayton Nevada for approx. $219,000 as apposed to the previous selling prices of more than $379,000. Built within the last 4 years on almost a 1/2 acre lot with a 3 car garage and fenced backyard, with paved streets, city sewer & water, natural gas with good schools and friendly neighbors. What else could you ask for?
Why anyone is waiting to go house shopping if you're in a position to get a loan is beyond me.
For more detailed information of any Northern Nevada property go to: BuyNevadaProperty.com or call Theresa @ 800-662-1059 or email me: Theresa@Century21.com
Friday, February 8, 2008
Tuesday, February 5, 2008
Brighter Days are coming
CNN reports that congress is reveiwing putting a freeze on most adjustible mortgages for 5 years. This would be a huge help to the housing industry. All the wait-n-see potential buyers wouldn't need to wait any longer to see how many foreclosures they can snatch up.
And more importantly it will keep disadvantaged families in their homes.
Common sense should have told the mortgage industry that the loose lending practices were unrealistic. GREED is always the bottom line. Corporate America is destroying the middle class and everyone needs to say, "I'm mad as hell and I'm not going to take it anymore". You may remember that statement from the 1970's movie "Network".
For up-to-date Northern Nevada, Lake Tahoe, real estate sales information contact me, Theresa, Century 21 Heritage West, 800-662-1059
Thank you for reading my blog!
And more importantly it will keep disadvantaged families in their homes.
Common sense should have told the mortgage industry that the loose lending practices were unrealistic. GREED is always the bottom line. Corporate America is destroying the middle class and everyone needs to say, "I'm mad as hell and I'm not going to take it anymore". You may remember that statement from the 1970's movie "Network".
For up-to-date Northern Nevada, Lake Tahoe, real estate sales information contact me, Theresa, Century 21 Heritage West, 800-662-1059
Thank you for reading my blog!
Monday, February 4, 2008
Housing Concerns by Senator Ensign of Nevada
Thank you for contacting me about subprime loans, predatory lending practices, and the current housing crisis. I value the opinions of every Nevadan and am always grateful for those who take the time to inform me of their views.
The housing market in Nevada has experienced significant turmoil in recent months. Housing sales are sluggish, home prices are stagnant or have even declined in some areas, and new home construction has slowed. The increasing rate of foreclosures occurring in our state is also of great concern. Indeed, Nevada has one of the highest foreclosure rates in the nation. These foreclosures are a result of several factors including an oversupply of houses, weakening demand for housing, a proliferation of subprime loans, rising interest rates, and lax lending practices. My colleagues and I are considering various ways to address these problems, but a government bailout is not the answer.
Subprime loans have allowed people with bad credit who would not normally qualify for a mortgage to take out home loans at a higher interest rate. These loans are sometimes combined with other options like small or no down payments, less restrictive income documentation requirements, or adjustable rate mortgages (ARMs) with low introductory rates. A large percentage of the foreclosures we are seeing today are borrowers defaulting on subprime ARMs. These loans usually foreclose at a higher rate than other types of loans.
After years of low interest rates and skyrocketing home prices, many borrowers were not prepared for the market to shift so dramatically. High interest rates and weak housing prices have made it nearly impossible for many borrowers to refinance their loans on more favorable terms. Unable to pay the higher loan payments, many borrowers have been forced into foreclosure.
The recent turmoil in the real estate and mortgage markets has certainly been difficult for many Nevadans. Borrowers, lenders, and investors as a group made terrible decisions about risk over the last few years and are now paying the price. In this situation, it is easy for politicians to promise a bailout or new regulations in order to appear sympathetic and helpful. However, such actions would be irresponsible. As painful as it may be, the housing and mortgage markets now require a natural and significant correction. Rash government intervention is not the answer.
Rather, Congress needs to closely investigate the causes of the current problems and exercise restraint as it considers legislation. Lending standards likely need to be tightened, but it must be done in a careful manner. The government should fully enforce all its current laws and ensure government agencies can effectively carry out their regulatory responsibilities. Another issue that needs to be addressed is "predatory lenders" who often prey on subprime borrowers. However, Congress must be careful not to overreact and create an environment that rewards poor financial decisions or makes it unnecessarily difficult for Americans to own a home in the future.
One proposed legislative response to the housing crisis is S. 2338, the Federal Housing Administration (FHA) Modernization Act, which would reform the FHA. The FHA provides mortgage borrowers with an alternative during a lending crisis. The bill would raise the FHA's loan limit to $417,000; reduce down payment requirements from 3% to 1.5 percent; and expand the FHA's reverse mortgage program that allows seniors to convert equity into cash. The intent of this bill is to bring some relief to the distressed mortgage marketplace by increasing potential access to FHA loans.
The Administration has assembled a private-sector group called HOPE NOW, which has developed a plan that could assist over 1 million subprime borrowers feeling financial stress under adjustable rate loans. The HOPE NOW plan is designed to help homeowners who can afford the current, starter rate on a subprime loan but not the higher payments once their interest rate goes up. This effort, which involves no government funds, will freeze interest rates for eligible borrowers and create a streamlined process by which struggling homeowners can work with their mortgage holders to avoid foreclosure. I am hopeful that the President's plan will have a positive impact on the housing market.
I am pleased to see that the Nevada state legislature has already taken up measures to better regulate and oversee the mortgage lending and brokerage industries in our state. While I am not a member of the U.S. Senate Banking Committee that oversees legislation relating to the housing and mortgage industries, please rest assured that I will keep your thoughts in mind as the Senate considers legislation dealing with the housing crisis.
Thank you again for sharing your thoughts with me. Please feel free to contact me in the future on matters of importance to you. Should you have any other questions or comments or would like to sign up for my newsletter, please do not hesitate to either write or e-mail me via my website at http://ensign.senate.gov.
Sincerely,
JOHN ENSIGN
United States Senator
The housing market in Nevada has experienced significant turmoil in recent months. Housing sales are sluggish, home prices are stagnant or have even declined in some areas, and new home construction has slowed. The increasing rate of foreclosures occurring in our state is also of great concern. Indeed, Nevada has one of the highest foreclosure rates in the nation. These foreclosures are a result of several factors including an oversupply of houses, weakening demand for housing, a proliferation of subprime loans, rising interest rates, and lax lending practices. My colleagues and I are considering various ways to address these problems, but a government bailout is not the answer.
Subprime loans have allowed people with bad credit who would not normally qualify for a mortgage to take out home loans at a higher interest rate. These loans are sometimes combined with other options like small or no down payments, less restrictive income documentation requirements, or adjustable rate mortgages (ARMs) with low introductory rates. A large percentage of the foreclosures we are seeing today are borrowers defaulting on subprime ARMs. These loans usually foreclose at a higher rate than other types of loans.
After years of low interest rates and skyrocketing home prices, many borrowers were not prepared for the market to shift so dramatically. High interest rates and weak housing prices have made it nearly impossible for many borrowers to refinance their loans on more favorable terms. Unable to pay the higher loan payments, many borrowers have been forced into foreclosure.
The recent turmoil in the real estate and mortgage markets has certainly been difficult for many Nevadans. Borrowers, lenders, and investors as a group made terrible decisions about risk over the last few years and are now paying the price. In this situation, it is easy for politicians to promise a bailout or new regulations in order to appear sympathetic and helpful. However, such actions would be irresponsible. As painful as it may be, the housing and mortgage markets now require a natural and significant correction. Rash government intervention is not the answer.
Rather, Congress needs to closely investigate the causes of the current problems and exercise restraint as it considers legislation. Lending standards likely need to be tightened, but it must be done in a careful manner. The government should fully enforce all its current laws and ensure government agencies can effectively carry out their regulatory responsibilities. Another issue that needs to be addressed is "predatory lenders" who often prey on subprime borrowers. However, Congress must be careful not to overreact and create an environment that rewards poor financial decisions or makes it unnecessarily difficult for Americans to own a home in the future.
One proposed legislative response to the housing crisis is S. 2338, the Federal Housing Administration (FHA) Modernization Act, which would reform the FHA. The FHA provides mortgage borrowers with an alternative during a lending crisis. The bill would raise the FHA's loan limit to $417,000; reduce down payment requirements from 3% to 1.5 percent; and expand the FHA's reverse mortgage program that allows seniors to convert equity into cash. The intent of this bill is to bring some relief to the distressed mortgage marketplace by increasing potential access to FHA loans.
The Administration has assembled a private-sector group called HOPE NOW, which has developed a plan that could assist over 1 million subprime borrowers feeling financial stress under adjustable rate loans. The HOPE NOW plan is designed to help homeowners who can afford the current, starter rate on a subprime loan but not the higher payments once their interest rate goes up. This effort, which involves no government funds, will freeze interest rates for eligible borrowers and create a streamlined process by which struggling homeowners can work with their mortgage holders to avoid foreclosure. I am hopeful that the President's plan will have a positive impact on the housing market.
I am pleased to see that the Nevada state legislature has already taken up measures to better regulate and oversee the mortgage lending and brokerage industries in our state. While I am not a member of the U.S. Senate Banking Committee that oversees legislation relating to the housing and mortgage industries, please rest assured that I will keep your thoughts in mind as the Senate considers legislation dealing with the housing crisis.
Thank you again for sharing your thoughts with me. Please feel free to contact me in the future on matters of importance to you. Should you have any other questions or comments or would like to sign up for my newsletter, please do not hesitate to either write or e-mail me via my website at http://ensign.senate.gov.
Sincerely,
JOHN ENSIGN
United States Senator
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