Stay On Your Toes With Your Mortgage

The mortgage industry looks like its on the come up and they have a head of steam moving forward. These are good signs because the building industry is the strongest it has been in a while with build new home fast.

This could mean a lot of strong things moving forward and that is that foreclosures are down so many home buyers are looking for new construction homes. Fannie Mae and Freddie Mac have been busy posting profit numbers, so sign are well.


Did you know though that the government owns 90% of the mortgages that are out in the market, although they are giving us a boost its still scary. Basically the government has your back if you default on your home which isn't a bad thing but what does that mean for you has a home owner.

What is happening is the government is trying to help you get into a house that you can afford, because if you default on your home the market of your home is probably going to go down and the home owner is going to  be in the whole.

You don't want that and so that is why the lenders are being so tight with the home loans they hand out. You have to prove you can afford the loan you get. The small the home and the larger the down payment is the better off you will be.

Most lenders want to you to have 10% down payment but if you can't swing that you next option is to get a government loan that can help you with the closing costs and other housing fees you might run into.

So when your shopping for a mortgage its always a good idea to stay on your toes because you never know which way your going to be turned.