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As I walked home recently from a weekend trip to the grocery store, I passed a total of 13 vacant offices with signs saying "for lease" or "for sale." These spaces ranged from approximately 500 to 5,000 square feet according to their signs, and they are stretched along a main, commercial street in the center of Tucson, AZ. There is also an eight-screen movie theater that sits empty as well. These empty commercial spaces ... are empty now, and have been for quite some time. I found it intriguing that both in the central portion of Tucson and also in...

Refinancing lifeline fails to reach most 'underwater' homeowners Federal plan misses about 97 percent of eligible borrowers By Renae Merle Saturday, October 24, 2009 A seven-month-old government program to help homeowners with little or no equity refinance their mortgages has so far reached fewer than 3 percent of those targeted, with many struggling borrowers deciding that the benefits of a new loan aren't worth the closing costs. This lackluster performance reflects the difficulty of helping the growing segment of "underwater" homeowners -- those who owe more than their home is worth. The program is a key component of the Obama...

Describing it as a developing story, Fox News Channel’s Bret Baier just reported that President Barack Obama was briefed today about “the next big financial shoe to drop” — commercial real estate. It dovetails perfectly with what I reported nine months ago in a post, Trendwatcher: ‘Crash of ‘09? Will Be Worst Ever", and portends of more radical financial shenanigans — bailouts, stimulus packages, etc. — coming out of Washington, D.C.

Homeowners taking part in the Obama administration's housing rescue program through Fannie Mae and Freddie Mac will now be eligible even if their loan-to-value ratio is up to 125 percent. That means they can have up to 25 percent negative equity and still get a refinance.The rule changes, part of the government's attempts to restore housing affordability and stem the foreclosure crisis, apply to loans backed up by Fannie Mae and Freddie Mac.Previously, homeowners could borrow up to 105 percent of their home's value. The new loan-to-value ratio is set up at 125 percent in a further effort to address...

Case 1: "They want to stay in the house; they've lived there for 15 years and, well, it's home. They're way underwater, owing about $510,000 on a property not worth much more than $350,000 right now..." Case 2: "She has been in the home for 23 years, but family health problems, divorce and economic factors have conspired against her and she's never been able to substantially pay down the loan."

Low Mortgage Rates to Spur New Wave of Defaults Posted on December 26th, 2008 Talk about unintended consequences. The following is significant insight from the street level. This is especially important for those of you thinking that these low mortgage rates will lead housing and the consumer to the Promised Land. /snip These days the process has changed a bit. Now the first thing done after the loan application is taken is to call the appraiser for a comparable sale check to see if the value at which the home owner states the house is worth is on target. Therein...

Another mortgage-refinancing boom is under way. But this time around, many homeowners will be watching from the sidelines. For the first time since 2005, mortgage rates have slipped well below 6%, ending last week at about 5.87%, according to mortgage tracker HSH Associates. Some lenders are offering even lower deals. At these levels, about 37% of homeowners could refinance their mortgages and save money on their monthly payment, estimates investment bank Bear Stearns Cos. As rates drop further -- and some expect that to happen if the economy continues to weaken -- increasing numbers of consumers will find refinancing their...

Subprime borrowers threatened with foreclosure because of big increases in their monthly payments won't find it easy to get relief from their lenders, even if the lenders are willing, a top banking regulator said Tuesday. Refinancing into a more affordable loan may be the best option for those who can, said Sheila Bair, chairman of the Federal Deposit Insurance Corp. "Borrowers should explore all financing options that might be available," she said. Those with adjustable-rate loans should ask about fixed-rate mortgages. Bair testified at a hearing of the House Financial Services Committee on subprime foreclosures. "We are on the precipice...

Hey guys-- I have need of advice for a pretty simple financial question: I have a regular mortgage for my house at 4.75%-- which is great, don't want to touch it. But I have a line of credit (I used to finish construction of a 2nd home) for $75K on an adjustable which is now at 8.15%. I am just nearing the 6 mo. point on this loan where I will not incur a penalty for early payoff and am considering refinancing this one into a fixed. Am I going to save money? What are the realistic rates for fixed...

A funny thing happened last week. Mortgage rates remained basically unchanged, inching up just 2 basis points to 5.81% from 5.79% a week earlier, according to the Mortgage Bankers Association of America. But demand for refinance loans and purchase loans dropped. Like a rock. This was not your garden-variety drop. It was a huge plunge: Applications for refi loans sank more than 22%. Applications for purchase loans crashed 19%. Refinance applications are now down MORE THAN 75% from their late-May peak while purchase applications are at their lowest level since April. What's going on? It's pretty obvious ... * The...

US Refinancing Boom Seen At End As Long Tsy Ylds Soar . By Julie Haviv Of DOW JONES NEWSWIRES NEW YORK (Dow Jones)--Tuesday's sharp sell-off in Treasury securities affirmed what many economists and analysts had believed: The end is very much in sight for the longest, loftiest refinancing wave in history. What's more, the end may be coming sooner than some thought. Long-term mortgage rates are tied to shifts in Treasury securities, and when those yields rise, mortgage rates rise in sync. Long-end Treasurys sold off sharply after Federal Reserve Chairman Alan Greenspan, in testimony to the House Financial Services...